feeling sorry for the early morning buyers as their day will end up in a total desaster
this morning more than two million shares were traded above $4 mostly by momentum traders who can't afford to stay long the stock. Once it becomes clear that the price won't go back up this session they will run for the exits so I would expect another leg down to new lows after lunch. Stock might finish unchanged or just slightly green with more selling pressure caused by trapped traders until the end of the week. As an investor I would wait for the failed momentum investors to leave and pick up some shares once the volume has dried out. I think the shares might see $2.50 again as this is the ideal setup for a multi-day reversal here.
They were Shorts covering their position, Buyers who have been holding this stock since $1.89 are not too worried right now. So move along and beat it, Short Covering and High Frequency Trading Computers were moving that stock up, not the little investors who know how this stock behaves.
Should we feel sorry the Shorts covered higher and now the stock has hit the daily dull drums? I am very happy with my position and will be happy to hold as these stocks become more legit by hiring US COOs and Accounting specialist. SGOC has got the ball in-play, now we need the fear of Chinese Stocks to back down and Wall Street to get the message we are hear for the long-run!