To: Roo who wrote (3297 ) 11/30/1998 9:21:00 PM From: dealmakr Read Replies (2) | Respond to of 5847
Roo, Saw your post earlier, but had to get to the office. In any stock that moves up or down to new levels you will see buyers and sellers appear at certain price points. If going up, you can expect to see profit taking when objectives have been hit, such as a possible 100% return on a buy at a much lower entry. Also new investors will enter as the price action and volume bring additional interest. Daytraders will also pick up on % moves and increasing volume. The story is constantly changing and perspectives on valuation and what someone is willing to pay change along with it. Lately the story line here has been changing very rapidly with the business relationships developed by BANY and the newer relationship with Anything Internet. This will bring a changing of investors IMHO as some old ones grab their profits and new ones look for the future. I don't view it as dumping, but more of a recycling of ownership. Things to look for in determining strength are; How is the trading supported and liquidity, can selling in size be absorbed by buying and do the MM's besides playing their little games give support by not dropping too far away on no volume? If someone buys @ .62 and without any sells the ask drops to .61, you know its a MM game. Remember that to give liquidity to the trading they have to short to the buyers as the stock runs and balance the book by buying back lower. It just the way the game is played. Does volume increase with a rising or dropping stock price. Rising equals strength and the opposite is true with selling. Are there any material developements in the future that will have a substancial effect on current valuation. I can think of one, as I am pretty sure that its on everyones mind that owns BANY. Remember that in each new level of price that the stock reaches or drops to, you will see new players come and some older ones go. I don't smell any fish, its just a good amount of volume. If you look at the time and sales for up vs. down volume, it should tell the tale. It is always best for your own DD to ask and question your position of ownership in any stock at all times and make sure that your investment objectives are in line. Dave