Polar Power Inc (POLA)

[southacresdave]

There may be a seller or two right now, but a lot of this trading that is happening is quant computer related imo. Even POLA's IR guy mentioned that they have quant traders involved (i.e computer that only care about earnings & momentum and don't know squat about the company. It trades off of algorithms). You could see it earlier today. The bid was in the upper $3.50's. Ask was in the $3.70s. A couple of small trades went off on the ask and for a moment there the bid was in the upper $3.60s and the ask was all the way to $4.29! There wasn't a single individual or fund sell order sitting there. Then, a little while later, $2000 shares went off at $3.56 so. Less than a second later the bid dropped to $3.35. All the "support" that was showing underneath the bid just a moment ago disappeared.

This is why the stock went up $1 in the last 3 minutes of trading last Monday. There are almost no permanent sells sitting out there. It's just computers bouncing things around seeing what they can entice others to react on. I'm not saying it's not real trading. It is in that shares are getting exchanged. However, it's not necessarily from individual to individual, but from computer trading firm to computer trading firm.

If POLA put out any good news and individuals or firms roll in with bid orders, then the computers will follow the momentum. Especially with this being a low float. The stock will jump into the $4s quickly.

I haven't done it yet, but it's why I'm thinking of averaging down. Yeah, I like this long term, but if I can get my average down enough I can always just flip out on a short term boost in price and volume.