Many stops were hit forcing more selling on the way down. I agree that it is an over reaction. But I think that much of the reaction is technical as result of forced selling once stops were hit on a low float stock.
Once Shorts decide the low point is near, they will start covering. The Low may be in now, around 51. If that holds, then expect short covering rally today and Monday.
I covered last night at 40.5. Bought at 40.2 and out now at 44.1. I don't see this getting much higher than 44 the rest of the trading day.
maloneksm, what pivot points are you using for fill the gap? 36 and 54? If so the gap should be filled around 45. Is that correct?
Based on that, I covered my short at 40.50 and went long at 40.20. What do you think?
Well, that was the best trade I made in a while. Shorted at 50.60, covered at 40.50.
Full disclosure...that makes up for my debacle with PBYI. Shorted it too early in the morning.
FIVE was at 36 just 3 months ago. Its surge above 50 was just ridiculous, especially when you looked at its PE and PEG.
With a PEG above 2.0 (not horrible) and PE above 100 (horrible) and forward PE of 50 (horrible), this could be cut in half and still be over valued.
Seeing 36-39 again is not surprising.
With a PE of 100.53, Forward P/E 49.23 and PEG over 2.... this will get slaughtered in the morning.
For what its worth I agree. This has a small float (18M) which exacerbates moves both ways.
Shorts took this lower, shorts will send this higher when they cover this afternoon. Nice profit for them today, but they should cash in and move money elsewhere. That will pop BRLI price by EOD.
Once shorts decide that BRLI won't go lower, they will start covering their large short positions.
Announcing 10% growth for 2014 seems in line with expectations. Today's announcement was nothing new. Concerns about Medicare uncertainty have been there. But the reaction is a bit overblown. PE and PEG indicate attractive entry points. Medicare won't go away.
Trailing P/E (ttm, intraday): 17.78
Forward P/E (fye Oct 31, 2014)1: 14.62
PEG Ratio (5 yr expected)1: 1.16
I am surprised it has held around 35. But I covered from yesterdays short position. The profit was too nice to be greedy about.
I too thought it would go lower, but this was a manipulated stock in the first place. It could happen again, so I am out now.
Two research firms tried to warn us 2 days ago and should have set off alarms to everyone.
Market Edge deemed BLOX an "AVOID"
ResearchTeam told clients to REDUCE
Know we know why.