I am long a very large positiion and am getting uncomfortable with the idea of 200,000 million shares be authorized in March.. Last April 4, 2012 25,000 authorized and the stock went down some 30% for about six months. you can track it on historical prices. Not sure what will happen this time.....any ideas about this? anyone out there?
The event of authorization in this year is similar to in last year, but the housing market has been improved a lot since last year, so the SP will go differently. I think you should be comfortable with your huge long positions.
Not sure what will happen to HOV in the short term if the new shares go through, but you can always trim your huge position so you are more comfortable staying in. HOV is a longterm play. If timed right you can play the wild swings. Which I do with options.
Unless you are talking about the March Selfoff. The stock didnt go down much since April. From April 4th it traded at $2 and zigzagged down to about 1.75 ish. then by June it started to rebound higher to 3.50, $4