Let's say someone does not believe in a particular company - the company might have poor management, heavy dilution, sketchy financials...but the company is highly volatile with an unparalleled volume, motivated by mob mentality and hype alone and this someone decides to short said stock - would it not make more sense for this person to actively promote the hysteria? Seeing as the hype pps is only temporary and not reflective of real company value, would pretending to believe in the stock not make the most sense to gain the most before the inevitable fade? Once the sensationalized event has passed then the shorter can turn on the stock as though he was "deceived" by the news and now denounce the company in hopes of the pps dropping so he can cover. My question is why would a shorter denounce a stock before the hype rather than after?
There are two reasons I can see for thrashing a company consistently...for long periods of time but especially in their most perceived volatile state...such as before news/hype and that is to drive the price down to buy or because you are stuck in a deep, short hole.
I think those that retain negative positions on companies that are uptrending must be one or the other. But when timing consists of jabs before the hype, not after, I tend to believe that it is a double agent long actually hoping for price reduction to buy the news. In fact, it makes perfect sense to take a stance against a company prior to news when news has shown time and time again to make said company rise.
Anyway, not saying you are secretly in love with owcp and everything you say is just so you can buy at a lower price....well, actually I guess that is what I'm saying. You a sly dog but if even if it's in a sort of weird diabolical way, you still jus trying to get into owcp before it hits the moon like the rest of us ; )
Go owcp!!!
