My PIOE prognosis for the next several months.
Although I am VERY confident about PIOE's long-term future, I am at the same time worried about what may happen over the next 3-4 months. Being the self-designated worrywart for PIOE I will outline those concerns below.
I'm sure most recall the price action for PIOE from June thru September last year leading up to the RCP announcement in early October. To refresh memories, PIOE had just gotten off the grey market in early June and traded mainly in a range of $.40-.55. Before that time, PIOIQ traded in a range of mainly $.20-.40. The specific details of these trading ranges are not relevant to my concern.
So my primary concern for the coming 3-4 months is that holders of PIOE shares from the time periods outlined above are now coming into a period when they can capture long-term capital gains for PIOE. There is obviously a tax advantage for doing this. Also, depending on how many shares those long-term holders might be selling, there may be more less selling pressure on PIOE's share price.
Up to the present, whatever selling pressure that has existed since early April has been successfully absorbed by PIOE buyers (imo). The evidence for this is the moderately narrow trading range that PIOE has traded in since early April (mainly from about $1.30 - $1.50, as I have noted in a previous post).
My conclusion is that as long as the possible selling pressure from those wanting to cash out their long-term gains does not overwhelm the apparent current buying of PIOE investors, then my concern about PIOE share price will not be justified. Also, if my concerns are not warranted, then I would expect no significant changes in PIOE's trading range until the next quarterly report in early August. We'll see.
