Replies to post #98974 on Marani Brands Inc. (MRIB)

[Matthew Berg]

How do they finish dilution? Stock is their only resource for funds. The cycle was started and with $2 million in current debt and $300K a quarter minimum going out on $9000 in gross sales? the cycle cannot be stopped now. BK is the only way out.

[Carini]

"I'd rather them not give us any info, dilute the snot out of this thing, finish dilution, then BOOM!"

IMO when you see chart patterns like MRIB has been exhibiting since around mid-July, that's exactly what they do. A round of conversion/dilution, and when all the MM's have sold their shares, there's a big, fast pop, then they convert more notes (usually at 50% of the low PPS just before the pop) and repeat again, with lower highs and lower lows.

edit: I think when VFIN is done that may be it for this round, and we will see a pop soon on some news...

For another good example of this type of pattern, see E-L-R-A's chart pretty much all through 2014.

The key, obviously, is to jump in as close to each lower low as you can and get out at the lower highs...