Been trading this up and down. Recently shorted and am getting hammered. The recent move from 46 to 63 was rapid and does not seem to be confirmed by volume. Looking at bollinger bands and obv and praying for a correction. Comments welcomed.
Sndk
- Thread starter mikecronan
- Start date
Almost the same move a mo or so ago. Went from about
44-46 to 65+ real quick. Few dys later it dropped real fast
to about 45 area.
Apparently(??) there was some confusion among analysts/writers about what was happening to the company re royalties,patents, lawsuits, market position. Also, seemed like some articles put out
where there may have been miss-statements re to just
what the company's product was.
The last run up was not nearly as fast as the first one.
......... rj
Yes, i saw where barrons had negative articles 2 or 3 weeks in a row. This stock is so volitile. It advanced $5 this week on very little volume and no real news. Earnings arent until jan 27. I realize volume was down overall this week due to holidays.
Personally, I would be careful shorting SanDisk. This stock has all the makings of a rocketship. IMO, it corrected after a move from 30 to 60, back to 45. The stock has 1/4 the outstanding shares of AAPL, and half the daily volume. This thing could run to 80. If you must short a stock like this, you need to put on a stop of 1 - 2 dollars and take the loss. Amazon DESTROYED professionals back in the late 90's. Everyone shorted it, and it kept going up, to over 400 at one point. 7.6% of the shares are short according to Yahoo. Be careful.
Sellers must be backing off for it to advance like this on low volume. This stock should go down not up. However it isn't. When a market does the opposite of what it should do then you must assume that it is really opposite of what it seems it is. Thus, in this case up moves on low volume show weakness however, it is going up. It is not doing what it "should" so that shows that it is really strong and not weak. If a seemingly weak market isn't weak then it is strong. I would say it will continue up and everytime it breaks numbers like 100 200 300 then it will keep on going up. If it fails at say 100.00 then it may slide down.
i think you boys are getitng carried away. to compare this to amzn of 1999 doesn't even deserve a response. this is 2005 were nothing outside goog looks like 1999 as the interest in the market is 1/100th of 1999. even aapls 2 year run is pale compared to 100's of 1999 stocks. sndk makes a plain commodity product and has tons of competition and should double top for the cycle soon. but even i admit that run from 45 to 63 was weired as heck in the face of tons of downgrades and 3 bad articles in barrons and the real kicker my getitng in there market. the run makes no sense
I don't know what was your logic for short entry on this stock and at what price you went short.
This stock was signaled as long entry on my system in November because it had highest volume down day in the history of the stock. As pointed by the ATH V on attached chart.
Generally when a stock has such a high volume down day, all sellers are washed out and it rebounds. You can test this system and see the results. The signals are rare but highly profitable.
Does anyone believe that sndk is manipulated. Looka t the citi downgrade in october and upgrade in dec, just seems very odd. The you have this jmp outfit putting out a $38 target. go figure. It just seems this last run has been on very light volume. a negative divergence, i hope.