If you remember, right after the secondary was
issued, the stock fell below the $170 price, (which was
then brought back due to the big boys manipulations,
and hype due to earnings).
Also to dump 4-5
million shares of stock on the market all the while
trying to keep it supported so they can make a profit is
not something that can be done overnight.
the way, I am also short (bought some puts Monday
own a stock. Don't you understand that the
underwriters who bought the secondary placed it with their
institutional accounts the next morning so those accounts could
sell it to idiots like you at a higher price. They are
all long out and are laughing because they made a
little quick money. Do you think market makers take any
risk on stocks like this?
Margin calls may force people into
liquidation....Most brokerage houses require 80% down for margin.
Another reason for such fire sales.....Don't we all hate
those margin calls (both longs & shorts)!!!!! What a
pitty they won't let us margin 50% of this stock; it
sures will dampen the volatility (but it would take the
fun out of it).
don't fight the trend, take your profits, and buy back when it's lower....conserve your capital, don't loose it all....It's o.k. to take a small chuck of the huge profits...come back later....
Tulipmania occurred in Europe in 1624, but I
agree with the analogy. This famous bubble was
described in Mackay's "Extraordinary Popular Delusions &
the Madness of Crowds" published in the early 19th
century. Basically, there are fools willing to lose their
money in every century. Poop is not the first, nor will
he be the last.