Cyan Inc. (CYNI)

[the_dow_bum]

By three days after bad news, we should see if the bottom is in. Three days is time enough for the ripple effect to be fully factored in. By the 4th day, volume should be returning back(less than 50 over normal) and the bottom should be in.

For CYNI on Friday, I am looking for a higher high and a higher low than Thursday ($3.60 and $3.40 respectively). This will be a clear indication to me that $3.40 was the bottom for this bad-news cycle. If that happens we should hover around 3.6-3.8 until the ER or other PR's come out. The overall market will also affect the trading, but $3.4 should hold as support. If we don't get a higher low and high today, than I'm not sure how far down we will go and all bets are off.

JMHO
-the bum