Replies to post #8653 on China MediaExpress Holdings, Inc. (fka CCME)

[RyanW439]

Big buyers are buying, they're just not doing it in a frenzy-like pace. They can't get into the stock in a meaningful way without running up the stock, or being extremely patient. I think it's obvious that someone in the mid-15's is accumulating the heck out of the stock. Someone had to buy all those extra shares that were shorted as of the most recent short interest data release. I think that number will rise once again coming up. That coupled with possible sells from Bright Elite, and all of a sudden, these institutions not only have the ability to buy in a meaningful way, but reason to not run the stock up while they wait for Bright Elite to sell, and shorts to sell the newly opened up share float.. When all of this gets done, we have a strong base around $15.60 to launch the next run into March.

This will run because of 1 of 2 reasons.. Either the funds fill the positions they want at this level, or we start to approach earnings, which will draw in a lot of MOMO traders.. The MOMO trend has been getting more intense with each earnings release, and I expect that trend to continue into 2011..

[Headley Lamar]

There is no lack of buying. There are probably ~5.5 million shares short right now. The recent buying has been huge, but was insufficient to allow appreciation during the onslaught of shorting. The fact that there are that many shares short but the price has held almost $1 above the old 52 week high should tell you something. If it doesn't then you are seeing something that I am not or your frustrations are impairing your better judgment :)

The next wave of buying will find the shorts out of ammo and with no option but to cover. That will create a cascade effect and will propel the price to a level that will probably align better with your expectations.