Shorts desperate...accumulator determined...the Alamo in progress!
Plenty of shorts trying to hold the line but in doing so, they've created another sub-floor...however, whoever wants FCEL is just as determined...they are scooping up shares. One huge difference, there has been scant news which means there is NO reason to accumulate. UNLESS you know something.
I don't think this is a hedgie valuation war. When two hedgies disagree, they usually get out of each other's way.
FCEL might be in the process of being taken out and every share accumulated at an 80% discount to of the take out is a gift. So today's shorts are giving till it hurts, then it will hurt some more.
At the open, large buys pushed the price up fast, the shorts waited and then borrowed millions at those prices, driving the price quickly in reverse, which triggered snap back buys instantly and so it went, looking LIKE a valuation war where a significant short position looked very dangerously exposed.
So now we are at stasis---who has more will? If this breaks upward above $1.70, all of the AM shorts are in trouble with just today's shares...in addition to their older positions...so they have to short more or reverse position.
So who has ammo left? Who has the stronger will? All of this is occuring against a black out prior to earnings, which was set up one month ago when the company hit its stated goal of 70mw production...but what if the company intends to revise that upward to say 90mw by Sept.? Is that the F-1 car driving us to the site of today's Alamo?-chi
Another factor to consider is a sector wide bullishness. dont think it has anything to do with fcel q2 report. Looks like all alt energy stocks are up. HYGS is up quite a bit and still going up. the wind at fcel window seems to have subsided for now. if it is a sector-wide thing then whatever it settles at today could proove to be a stable point? after today the upward movement might be slow. Tomorrow we might see a range of 1.35 to 1.53 and final settlement at about the same level or 1c higher. This is my speculation. Any ideas on tomorrow's movments???
I agree. Just going by some of the posts here, panic is close for the shorts. Their failure to drop the price significantly (at least so far) shows lots of buying interest. Even with the help of the day traders taking profits, FCEL is holding up well.