With this latest move by CPST, Traders are getting edgy and Shorts are pointing to the cc, History, projected losses, over sold, etc.
Everyone who uses some type of system or strategy is saying CPST Beware! Shorts are ready for their pound of flesh...they scream it's what always happens. The Market does not give a damn if Shorts make money or go broke... they are not "guaranteed anything". Nervous Traders calling a top on a momentum stock is just silly........they want to have an excuse to bank a few thousand $$$ now and lurk for a better entry point cuz doesn't CPST always come back to $1.
Perhaps the biggest obstacle is the fact that CPST has never made a profit... every web site and analyst calls for a penny loss for this cc, possibly Break Even in the next qtr and the start of profits in fy 2015. Not even one has predicted BE this qtr, yet pps has pulled a moonshot. Is the Market looking back 10 years or does forward looking guidance carry any weight? You don't have to agree with the huge gains over the last few months with incredible volume. Maybe the money should wait for the exact moment that CPST breaks even... now that wouldn't be very smart now, would it?
but,but ...Capstone is over sold....rsi points to over sold for the past trading range true. I say this: CPST has broken multi-year highs and is establishing a new trading range. It can stay at or above this elevated rsi for a long time. Again, Shorts could get creamed and Traders expecting a pull back could be left in the dust. The point and figure chart at st okckch arts etc shows a 3 box reversal and price target of 3.88 and Bullish trend for the first time in years. Heh Mr Short "Do You Feel Lucky? Well Do Ya Punk?"
Cricket....the old trading range suggests CPST is over bought...you are correct. Tho I am not trying to mislead anyone, the point is when CPST establishes a new trading range much higher, the old #s do not serve opportunistic shorts or short term swing traders very well. This is going higher sir...enjoy your day