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Technology Stocks : TAVA Technologies (TAVA-NASDAQ) -- Ignore unavailable to you. Want to Upgrade?


To: Karl Drobnic who wrote (21783)8/6/1998 4:01:00 PM
From: trade4livin  Read Replies (1) | Respond to of 31646
 
Karl,

Let me try this theory out on you.

Most margin calls have to be reconciled in 5 days. At this price level, there are certainly margin calls going out as those who bought in the double digits get squeezed. As the stock drops by fractions, more calls are sent to customers.

If the stock had 5 days where it closed flat or up, I believe the stock would then have found it's support as the margin calls would cease.

The volume is drying up so the "big" seller may be gone, but those margin calls are still going out.

What's your take?

Regards.