almost every trade this morning is listed as a short sale
according to my quote system's time and sales database of the 86K shares that already traded in the first hour for CIDM almost all trades are a short sale order. makes sense as the stock went from 2.20 to 1.85 (now rebounding a little). why would someone just short so many shares and keep driving the price down? are they hedging a debt position? do they have some information about bad news? are they privy to a secondary coming at lower prices and shorting and covering on the offering (this is illegal by the way) if so, their footprints are very clear shorting that many shares all at once with no regard to price. I just find this order activity strange and wanted to bring it to people's attention.
I have a decent size position so want to see CIDM go higher and believe the end of year numbers will have it do so. Possibly to $3-4/share. However, this trading activity this morning did surprise me. I would say more often then not with this type of stock this activity was from an institutional investor given the info on a private placement at lower prices for CIDM. This investor then shorted all stock he could above that offering price and will effectively cover for a guaranteed gain by participating in that private offering. This practice is illegal now after years of abuse. However, IT STILL GOES ON. I talked to a hedge fund manager the other day who just did what I described only a few weeks ago. That is my guess as to what accounts for the activity. If that's what plays out, I will contact the company and SEC. The evidence is pretty clear.