Continued refreshing on the offer as they move it down. Obviously a position they have decided to make some money on the short side. Significant volume again.
The shorts will be the ones to enjoy keeping from dropping more. They are going to make a bundle as soon as they cover. So mutual funds do not want to be owning LULU so they are a ready market for the brokerages to cover with the stock mutuals selling. That is why it is sitting in a very small range as they exchange shares. Now they will either move on to another stock to short or they may go long after covering and move LULU up 10 points for another nice gain. They do not make 100 million a day trading trying to nickel and dime a stock. There is no comparison to LULU and JCP. JCP mega debt. LULU no debt and making lots of money. This stock being this low is just wall street picking a stock and taking it to the cleaners.
Have sold at 38. Some of the CC call did not sound too promising in the short term. Take my profits and will keep it on my watch list. GLTA
Bought at 36.65. Realize shorts are in control but company still making lots of money and many folks still love their product. Some of these shorts will be covering as they have a lot of gains on the table right now.
Try not to laugh too loud. I will and it is trading. I usually do not hold over earnings unless I am confident by doing my DD that they will beat. I trade. I do not gamble.
I have only been in 2 LULU stores this quarter and they were so busy. I actually talked with one owner and they shared that they were selling all the stock that they could get. I have no position because there are so many shorts. I am thinking that they are going to beat but obviously there are far more that think otherwise. The stores that they examined must not have been doing as well as the stores that I visited. GLTA
Not the usual pattern for EBAY short so have closed short at 48.60. There has been no big selling so maybe it moves up this afternoon.
Thinking there will be a little correction in EBAY's move up this morning. Went short at 48.70. Will see what happens but think it was just a wiggle this morning as the present does not look good for EBAY.
Granted there has been a lot of EBAY shares changing hands Friday, Monday and Tuesday. Will keep a tight stop because if that was all kinds of shorts covering and going long yesterday then we could yet see a pop. They control the stocks.
Alibaba launches 11 Main US shopping site(more competition) and EBAY NOW local delivery service is blowing thru resources. Talking about shutting it down. Appears shorts will continue to win for a bit anyways. Folks in the know were those that have been selling in volume the last 3 days. Real trouble for EBAY.
Certainly I am not willing to own. Trade at the correct times yes. Their revenues are great but it is accumulated thru debt. They are not the US government who can print money to write off debt. I think that this company is going in for a very hard landing in the future. The executives of the company will walk away with having made millions with their stock and stock options that they have sold. Shareholders(mutual funds) are going to lose a lot of money. Some already have. JMHO
Shorts were in a bit more of a hurry to cover yesterday so we had a bit of a run up. Today shorts can sit and cover or even drop the bid and the sellers come to them. Obviously there are a lot of clients of brokerages that have a lot of EBAY fro sale. The ironic thing in these situations many times is that brokerages will cover their shorts and go long. Then the next day or so the stock moves back up as the brokerages now being long move it up. Great usage of clients despair. Have no idea what they do with EBAY after today. Of course technically it looks bad but if it moves back up the chartists will say it was a double bottom or if it continues falling it fell thru support. So they will be correct whatever the outcome.
At times like this that point probably doesn't matter. What catalyst is there for EBAY to move up? The selling is beginning to pick up and for the first time in 14 days the S&P is a little in the red. May get a little bounce.
Not much, but still an up day in the market with as bad as things look for EBAY, it finished strong. Still so much liquidity in the market and the FED promising more means a higher market. 47 billion a month is still a bundle. I realize it only means a few million more for thousands of CEO's, but hey, they need it more. Have a great evening.