Sirius XM Holdings Inc (SIRI)

[bepop12345]

Found on Yahoo
WHO WANTS TO KNOW WHAT'S NEXT? 17-Mar-09 05:12 pm
I will tell you.

If you followed my previous post, I told you there was going to be a short panic once we broke through the .27c resistance. Shorts had a strong interest in protecting their postions at .28c. As I stated breaking through would create a "short squeeze" or panic sending the share price to .40c.

We didn't hit .40c for a simple reason. Shorts have a another postion at .40c. It is a logical fact that they are going to protect it as well. The market knows this and placed their sell orders just under where shorts were expected to fight. Most day traders will sell a couple of cents shy of the key resistance point. That happened today. A few retail shorts jumped on the opportunity as well and together this took out stops that had been set on the way up.

The GREAT NEWS for longs is that the market and a few BIG buyers are very optimistic about SIRI's future now. The stock has established strong support and some big orders are being placed at each support point. The trend is very clear.

So what's next?

.40c will be taken out and rather quickly now that a new floor is forming at the .33c range. Technicals are moving away from an oversold position, setting up for another strong move. The short positions at .40 (which is larger than the .28c postion) will unwind just as quick, if not quicker than what you witnessed today.

Target is .57c

Do yourself a favor and hold this time. The shorts are counting on you selling out again. If you do .55c will probably be where we stall.

If you want to truly see a "REAL" short squeeze...Buy more shares on the way up. It will break the cycle and you will see an extremely large short position cover at .69c.

The stock will move above $1.00 if that happens.

What makes this truly exciting? If the market indexes continue to rally....you could see it all happen yet THIS WEEK.

Good Luck