Worth reposting this which was put together by a former market maker who has a position in KING, see bold specifically...
kingguy-You and the this group did an awesome job today. My friends TMK, only accounted for around 450,000k today. My big player kept some low bids in there all afternoon but up until the last half hour had only bought 37,000. Now in that last half hour, he did give a serious wake up call to UBSS by initially showing him a bid at .09 when DOMS was offering, for 500,000. He only got 10k there. He kept moving up the 500k bid and did get hit wih 100k at .093 and though he kept moving up the bid all the way to .097 he didn't get any more bought. So he only added 147,000 today.
I got a call a half hour ago from a New York Investment Banker friend who I introduced to Norris a month ago who had another excellent meeting with Norris in the City today. He is not working with the Company on the stock side, just the drilling partner side. He doesn't ever tell me what they discussed and he is so straight laced that I am sure he is not playing in the stock. He knew that I knew they were meeting today so he called me after the meeting just to again thank me for the introduction and to tell me it was again a very productive meeting. But this time he did add one Comment when I told him how the stock had been acting the last few days. He said "with some patience and a few years, I wouldn't be surprised if we were talking about $10 instead of 10 cents a share".
IMO, that .97 close was just about perfect. No locked "offer" under the bids on the bids this morning like we saw a few weeks ago. We had a noticeable percentage move up. It rallied up 15% from the morning correction. There was no gap to fill this morning. It leaves room for newbies to get in below todays high and still at only 40% of the high we hit before the Company even put out its first PR four months aga. It also leaves room to maybe buy a little before the open tomorrow before the stock starts trading in Half Cents which could really start some sprinting.
Lets not get complacent. I believe we have our seller/s on the run or at least getting concerned, lets keep the bids in place and the small order flow along with the bigger ones. Again, some bids before the open around .101 but one thing to watch for that I am sure you all have seen in the past on stocks with a short. Often times if a number of MM's start getting too short for comfort, on their own, MM's will gap a stock open big on light volume trying to accomplish two things. Average up their short and to sucker momentum short term players into paying up big, short them the stock higher then immediately start shorting it down to make shareholders think the "rally is over" and maybe create some panic selling. If you see this, keep your limits in lower and don't fall for that trap.
One other trick that seriously short MM's and hedgies will do when a company issues a strong PR. The stronger the PR, the more aggressively they will do this. They will immediately bang the hell out of a stock down as soon as the news hits. I don't care if the PR is a buy out at a big premium. They will still knock it down. They do this because they want to create doubt in the minds of the investors who read the PR and feel that it is good news, or in the case of a stock that has had a big run, give the impression that the traders who have bought in anticipation of news are now selling on the news. Whether true or not, it is the perception of doubt they want to create. In other words, the want to "make a sows ear out of a silk purse". Now I am not aware of anyone here who is buying this stock in anticipation of any news. At least I haven't seen any posts addressing that subject. So hopefully the majority of the buying here is to lock in some cheap shares for the long haul. Just like Kingguy said yesterday. Holding this stock for at least a year cuts the tax rate to 15%. But eventually the Company will issue some news. When that does happen, I just want to warn you what tricks might happen. BTW, just like in the trick in the prior paragraph, I am sure you all have seen this stunt in other stocks that you have been in with a big short.
~Rig
