Does anybody know the reason why? I have another chinese small cap (born) and it was up 17%. Is this the result of China stating they may ease up or is scok catching up to the other coals that have been moving. Today was great for longs. Monday will be key. This needs follow through, not just a one day bump and then moving back towards 3. Im even at 9- I have a long way to go- GLTAL
Two different issues. First I am not insulting you, just general information to others who read this board.
Use money management and stop the loss. At $3.00 you are down 67% from $9.00 which means you need a return of 300% to break even. Not likely to happen to the average stock in a year and I have NEVER made 300% on ANY trade.
Second issue. 1)Photo's released of the progress on the plant, which confirms this is a legit business.
2) Coal is in demand with the winter months coming.
3) End of month rebalancing of mutual funds. 300% of daily volume is not retail buyers.
4) Shorts had to cover as prices increased which caused more shorts to cover.
If the price goes over $3.84 on Monday, we will have effectly covered 647K of volume for 9/20/2011, meaning the price should continue to rally to $4.77, causing more shorts to cover until buyers decide to take profits.
I don't mind long posts if they are substantive as yours was. I don't, however,understand the significance of the volume on 9/20. Could you elaborate? Does it have something to do with Japanese candlestick theory as 9/20 was a doji (I think)?
Cobra, I'm suprised that you feel that this stock can't return 300% from the $3.00 level!!$1.25 earnings with a 10pe would be $12.50!! Not out of the question at all. SCOK has been punished WELL beyond reason assuming the books are OK. What's your thoughts? I think this stock should be @ $7-$8.00 right now!! Look @ long term charts for FMCN , went from $8 to $38.00! Hmin from$9-$50.00! It happens!! JMHO
Thanks Cobra. I may add at 3.86 to lower my base. Look at the move for pcx and anr recently. Not sure if the market can continue at its current pace. Wouldn't mind a 5-10% drop to add more at lower prices and buy for a run into January. GLTU