Southern Home Medical Inc (SHOM)

[Lone Wolf]

Yes...the thing with plays like SHOM is that you have to understand how a play that hasn't had any real volume and that has a low(ish) float behaves. There are big spreads and everyone is afraid of being stuck with a 'fat finger play.

To play this, you have to be willing to ignore the spreads to some degree. Slap the ask for some of your fill as you never know why it is running and what kind of volume will be coming in. The rest of your order you get on the bid as indoubtedly, folks get nervous about the spreads and sell the first moment one of those bids fall.

I got some at the ask and waited on the bid for a fill that never came...despite the fact that it fell back down to the 20's level. Fine with me. Got my GTC order in on the bid. We'll see if anyone whacks.

The big unknown is why it is moving. I checked to see whether this was a pump job before buying and it did not appear to be. News? WHo knows, but these are the kinds of plays that are most likely to run from sub-pennies to produce that multi-bagger. Nice move back up to the 40's to end the day. Let's see what tomorrow brings.