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Re: Traderfan post# 13013

Wednesday, 02/02/2011 10:33:39 AM

Wednesday, February 02, 2011 10:33:39 AM

Post# of 34471
I'm sure quite a few smart shorts covered. Basically, there is a transfer of wealth going on from weak longs to smart shorts and smart longs. Weak longs do superficial DD, jump on during mo mo rallies or hype events like Reg SHO (buy high), and then get scared at the first sign of trouble and sell low to smart shorts. In the mean time, strong longs who are familiar with the solid and voluminous amount of DD out there (I don't think there is another CGS stock, IPO or RM that has had as much scrutiny), add on weakness, perhaps do some swing trading or put selling around a core position during times of weakness and also do quite well for themselves. I believe the cycle will be broken as the year goes on after events such as the dividend, next 10-K, additional analyst coverage, better trailing financial metrics, etc., etc. come to fruition.
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