An expert who has a crystal ball on the life expectancy of FIT. Is he as clairvoyant as Bill Ackman?
Day, I thought the conference started at 2:40 PST, which would be 5:40 EST.
If you have different information as to the starting time, let us know.
I think the ability to compete on the high end is not necessarily the future of FIT. You can make a lot of money not selling the high end. Take cars for example: most cars are not high end. Take jewelry as another example: most jewelry is not sold by Tiffanys. The list of products is endless.
Now consider most computer or electronic equipment. Most people are not buying high end Apple computers.
The majority of real shorts like the majority of real longs have not made panic moves, either buys or sells, based on the recent activity. Daytraders, whether long or short, make moves daily based on volatility. Real or true shorts or long hold fast like Ackman and Buffet. But those with lesser conviction or margin calls suffer the consequences of their untimely or unwisely decisions. That said, it doesn't mean that those traders who want to capitalize on a run up or down won't take money off the table when a stock runs too far too fast.
Exactly. There's a lot more to trading than "the old fashioned way." Down the road from where I live is a building where James Harris Simons' Renaissance Technologies operates. Decades back, Mr. Simons chaired the Math Dept. at SUNY SB and has employed mathematicians and computers to analyze and trade stocks. It's these very computers that are capable of planning and triggering a short squeeze. To borrow another phrase, it's not nice to mess with modern computers.
Wait till the shorts wake up one morning only to find that the Institutions have taken control of the float and the options and then decide to gap up by $5 or more. When that happens, the shorts will be trapped like the Porsche shorts were.
This story shows the respect and credibility of Fitbit's product. Great disclosure. Just confirms and substantiates my thoughts.
For a historical perspective of a short squeeze, read about the Porsche short squeeze
The problem with ad hominem attacks on shorts by longs and longs by shorts is that the attacks overlook the worthiness or lack thereof of a particular stock. If there's enough volatility in a stock, whether daily or weekly, you can be both long and short at any particular time.
That said, I think it's more important to look at the worth of a stock and make a decision based on its growth for investment purposes. Using this as my standard, I'm long FIT. In many ways, I see similarities to other stocks that I've been long in: MA, V, BIDU, AAPL. I weathered many a rough sea in these proven winners. Many of the issues about FIT being a fad item could be said for each of these stocks as well. Today, there is an article about AAPL really being just Iphones and are MA and V really any more than just credit cards.
That's just my opinion though.
Look at the volume. The selling is not by the major players who are accumulating. Watch when these buyers trigger the short squeeze
And the short interest ratio is increasing as the daily volume is decreasing
Even today's downward action was not that significant when viewed against backdrop of volume.
When Institutional stock holders start putting high sell prices into play with GTC instructions and then trigger a buying, as opposed to recent selling, chain, those shorts who have not exploited the recent opportunities will rue their failure to capitalize. But that's JMHO