AI
Friday, July 20, 2012 5:11:59 PM
$MPIX breakout on high volume short squeeze
One threat that all penny stock companies have to deal with are the effects of short sellers attempting to destroy their company. The official terminology on the trading desk is "Short and Distort." It's a 1-2 punch of price manipulation to the downside combined with misinformation in every possible forum.
It is a highly effective and devastating tactic when it works, but equally bad when it fails.
I have been pounding the table for weeks on end on this board that a higher pattern on the daily chart was forming and the rally trigger would be a close above the 20 DMA.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=77643783
Guess what, we got the close above the 20 DMA yesterday and it comes as no surprise that the squeeze is now on. Yesterday and today mark the 2 highest volume trading days in the history of the stock. Today we got a close above the 50 DMA which is a confirmation of yesterday's signal and actually yet another trigger for momentum traders to hop on board.
I drew a slanting resistance line to mark likely resistance level that we need to close above next on a daily basis, but it is a minor level. The next several target levels are the May high at .0065, the 20 week moving average at .00852, and the 1 cent mark.
These are short term levels and if this squeeze really gets going forget about these levels, they will become intraday speed bumps on a move to 2 cents.
Congratulations to everyone in on this trade. It is great to be a trader, it is great to be a winner, it is great to be making money on $MPIX even as it has been disparaged by bears incessantly.
One threat that all penny stock companies have to deal with are the effects of short sellers attempting to destroy their company. The official terminology on the trading desk is "Short and Distort." It's a 1-2 punch of price manipulation to the downside combined with misinformation in every possible forum.
It is a highly effective and devastating tactic when it works, but equally bad when it fails.
I have been pounding the table for weeks on end on this board that a higher pattern on the daily chart was forming and the rally trigger would be a close above the 20 DMA.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=77643783
Guess what, we got the close above the 20 DMA yesterday and it comes as no surprise that the squeeze is now on. Yesterday and today mark the 2 highest volume trading days in the history of the stock. Today we got a close above the 50 DMA which is a confirmation of yesterday's signal and actually yet another trigger for momentum traders to hop on board.
I drew a slanting resistance line to mark likely resistance level that we need to close above next on a daily basis, but it is a minor level. The next several target levels are the May high at .0065, the 20 week moving average at .00852, and the 1 cent mark.
These are short term levels and if this squeeze really gets going forget about these levels, they will become intraday speed bumps on a move to 2 cents.
Congratulations to everyone in on this trade. It is great to be a trader, it is great to be a winner, it is great to be making money on $MPIX even as it has been disparaged by bears incessantly.
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