LFMAO, Goose! Glad you got in...nice .40-60 run for you.
The main reason, I believe, for the runup is:
A: The potential merger
B: The fact that Paul Guez is involed (huge potential)
C: The float: my estimate is less than 4 million
D: The quality of the shell company (perfectly organized, imo)
E: Public knowledge of all of the above (via DD and, yes Trader's Nation)
F: No surprised from the 10KSB released today
G: Can I say "The Elvis Factor"?
Take it for what it's worth, with a 4 mil float and 3.6 million shares traded today, it is being flipped, no doubt. The MM's shook the tree real hard today in the .36 range, and people sold. Then they bought again. Such is life.
If you really want to see the footprint of a merger like this, go research SPEA. Go to www.shellstockreview and navigate the site to find "The anatomy of a merger" and look at what happens.
SPEA was a huge exception to the rule, mind you. It went from .10 to $26 in weeks. But it shows what can happen if the merging company and the shell have what it takes. The merging company has to have a product that will sell, and be profitable. The shell needs to handle things properly so that the existing shareholders (you and I) don't jump ship.
I have heard of mergers where the newly formed company totally rips the exisiting shareholder. Which is why I think Keating is one of the important factors here, and I encourage you to do some DD on Keating. Most importantly, I can't predict the future but, IMO I think this one has legs.
Good trading,
Monaco
