NewAge Inc (fka NBEVQ) (NBEVQ)

[Altitrade Partners]

Well, there certainly are differences in opinion here on NBEV.

Like many others, we believe that the shares are overvalued on a number of different fundamental metrics: price-to-sales, book value, etc.

However, the one thing that we cannot argue with is the technicals.

This stock has shaken off just about every attempt by the short-sellers to bring it down.

In fact, it's the short-sellers, who are continuing the pattern of go short, rally, cover, go short, rally, cover and are actually keeping the price of NBEV shares elevated.

One lesson learned over many years of trading is that you cannot fight momentum when it as powerful as it has been with NBEV.

We know that at some point investor enthusiasm will fade for NBEV, but it appears that now is not that time.

We think that the shares will likely make an attempt to get back to the all-time highs around $10.00.

With the shareholder meeting just under a week away, we think that Brent Willis will find a way to goose the price higher again.

We don't think the time to fade (or short) the shares of NBEV is until after the October 23rd ASAM date.

You can choose to fight the tape and the MoMo currently behind NBEV, but those that have attempted it are finding it a difficult, up-hill battle.

From our vantage point, it sure looks like a recipe for financial disaster.