Here's my unbiased take on everything.
First of all, today was a hell of a day.
I think this could bounce but I'm not optimistic enough to hold my position. I sold my shares after hours for a loss. That being said, I do not intend to get back in and I don't short stocks so this post is unbiased. I don't want anyone to lose money, and I don't think anyone is stupid for being either bullish or bearish. I come to these boards to get some opinions from others, so I figured I would share mine. Too much pumping and bashing in here right now.
Keep in mind that I am a day/swing trader and I don't really care too much about the actual company in this case. I haven't even seen a PR related to operations in about a month. Everything is about the stock. The stock is the product now so there will be a lot of technical traders involved.
Let's look at all of the facts.
The Negatives:
- The chart is now bottomless. There's no real levels of support for technical traders to start buying around. This stock has closed red 16 of the past 19 days. Every day traders probably thought a bounce was imminent. I know I did, even when I bought in at $1.30 (luckily I sold for a minimal loss). There is NO bottom right now and this can run lower than most people expect. I was counting on the .3788-.40 range support to be tested, but this just kept setting new lows.
- There is clearly dilution and it seems to be neverending.
- Nobody fully believes the company's PRs anymore. People are skeptical to say the least. If that recent PR is not true, there's more bad news.
- So many people are looking to get rid of their shares right now. Notice how any time a new high bid shows up after hours, it is taken out almost immediately. The price stabilized a bit, but this kept happening during the first hour of after hours trading. In short, people want out and you can't really blame them. Any signs of weakness will be magnified as panic sets in and traders unload shares.
Even if this does show some strength, it can be run down so fast with more dilution.
The positives:
A short squeeze could be huge if it happens when there is no dilution going on. We've seen it happen before and it was great.
After hours trend has been bullish, however, NEWL usually trades a bit higher after hours (which is why I waited to sell)
Any bullish signs and I think a lot of traders may jump back in due to the "gambling" nature of this stuck. Of course, that is just my opinion.
"If" the recent PR holds true and an agreement was broken, there may be some hope for rectification.
In terms of dollar gains/losses, there is more potential upside than there is downside so risk/reward ratio is good.
Overall:
This is a gamble play right now. No one knows what will happen tomorrow. Could be more dilution, could be a short squeeze, could be more news, could be something completely different. The negatives outweigh the positives right now; you can't really argue that. However, That may not be reflected in the price action.
This could run back to $4.20 or it could drop another 50% to $0.20 tomorrow. We have no way of knowing: simple as that. That makes this a gamble play which means it really comes down to your risk tolerance and entry prices.
Personally, I avoid that kind of uncertainty. I'd rather miss out on an 100% gain than take a 50% loss.
I've been bullish for the past week, but now I am just sitting back and watching.
Had I bought in at the lows today, I would still be holding my shares just to see what happens.
Since I had a small/medium sized loss (.428 was my average buy price), I sold my shares to avoid larger losses.
Once again, this is all just my perspective on things. Don't get offended. I have no ulterior motive here and I don't want anyone to lose money. I understand where everyone is coming from, and now that I got rid of my shares I can step back and analyze this from an emotionless standpoint.
Good luck with the trading tomorrow!
AI
News 
Market Data 
Discover 
