Here's a summary of the past three days:
--twice average volume each day
--a total drop of 16 points
--both Friday and today gapped up on moderate volume, before the price reversed and volume increased. Price weakened sharply before the close.
Normally you'd expect a gap up to be retail buyers, paying a premium before the institutions start selling. But watching the tape at a couple of intervals today and Friday seemed to tell another story, with smaller blocks (100s) consistently passing at the bid, while larger blocks (5,000) traded at the ask, or even above the spread. The institutional data posted here earlier confirmed that most of the volume was institutional, which isn't surprising, since the stock is so heavily owned.
I don't remember SEPR getting as low as 7 in 1996 after trading up to 21 in 1995, but at the time, they had very little coverage. So once all the trumpets sound, we could recover more quickly. I think we're very oversold and should rebound somewhat, before leveling out and trading off the news flow again. This whole thing has happened on essentially NO NEWS. It's a stock market thing, nothing fundamental. Now the company has been revalued and we can go on from here.
The market's had its little fit, just like it had its bout of euphoria, and now we can get back to business. |
