Originally Posted by
sl62
Guys..
As said this morining it was a slightly different day out of the gate. We were already up .07 in the early going. No surprise we failed to kick the .40 door down. Shorts manned up well today. Right now, this SP though up what, 6 or 7 straight, is in a different mode than just normal cycle. For sure there will have to be a red day upcoming, just hard to say if it's tomorrow. And to that end, the red day might only even be a penny. So no real justification for selling on that type of non pull back. As we have written about before this all started, the SP had a correction to make to a new channel. Until it's done hard to predict just about anything and here's why...we don't know what certain money managers are plotting even right now as we speak. Don't not think that some of the trillions on the sidelines isn't looking at SIRI right now and thinking about a buy-in. This SP looks soooo gettable right now. I just heard a new poll about how rightnow 75% of all hedgies are bullish compared to like 40% a month ago. Short position is weak and running scared (and the Street knows this) and new money is lining up to be put to work in the right opportunities. Our deal is we just don't know when one or several 2M/sh buy orders will show up to the post. They will, we just don't know if it's tomorrow, the next day, or the one after that, or next week. Of course when that money doesn't show up, we know the hedge has no problem containing 'here and there' unsustained buying pressure. We now have proof the SP has toned legs. From here it's just timing and it behooves to be in to catch the waves when they happen. Use extra funds for any deep pullbacks if or when they might happen. I think that's the strategy. What I'm fairly certain of is at this new level (which frankly is pretty commensurate with many other stocks who didn't go through the issues SIRI just did but were taken out back anyway in the recent '09 selling fiesta), the shorts will have a hard time taking this down much farther. There is now just too much renewed interest in the company and enough buyers to keep the action honest. So again, before this started as we sat @ .15, we talked about .40 being a very logical correction..and here we are. If we head higher from here, fantastic, but we also could be looking at the correction for now. In either case, I'm not complaining and will remain long for a bit yet. Also, just as MM's played the old patience card to get early jumpers when the stock only moved a few pennies after the deal news, we could see a little sideways thing here too. A little breather to get more weak hands to think the move is done. Then in a few days or a week, boom, phase 2 could hit and we could find ourselves @ .60. Just another scenario out of many possibles to ponder... :p
