RE:RE:RE:ShortsMake no mistake: I do not like the market makers at the best of times. But .. as they say .. it is what it is .. and when you cant beat 'em .. join 'em. I was really trying to describe what is a rising short position in the stock as being attributable to MMs working like they should and not a nefarious entity. Most ppl dont understand that when a stock is acting frothy and going for a huge spike/moonshot, that that is MMs selling short at a high price. Selling short remember, is - **borrowing shares** and selling them. So .. who here is doing that ? Nobody really ? SO if no one is selling, how the hell do we (mms) entice them to sell ? Simple, offer a premium .. MMs can do that by selling short at a higher price to entice. Its fair and YES, take that profit. Because if you have conviction you know MMs will not keep the price/bid floor low for long because demand will simply overwhelm. I admit, it does require some chutzpa (sp)
For new/novice/inexperienced traders .. this can be difficult to recognize when it happens. So to be clear and in summary, KNT is NOT for the retail shorter. Growing short position is actually a positive here cuz MM's own them and must cover. There is no reason to short this stock. All fundamentals are blue sky. And as was posted some time ago, when the stock was just kissing the dollar mark, sellers who really dont know this company, will be sorry.
When I find a stock like KNT, I always build and work with 2 pots. One for keeps (long) and one for trade. I posted recently that I would not daytrade this anymore cuz its just to powerful when it blows. I hold quite a substantial number of shares so I am not worried at all for making a profit. I am way way into the green so no FOMO (Fear of missiming out) I mention this because quite literally, I can partake right alongside the MM's because of number of shares I have at 3 retail agencies/entities. But they are an unpredictable lot so there is always risk, just not the same level of risk at this point for me personally.
However in all honesty, I still take risk and I have learned this pattern well enough that I kinda fibbed a bit and still trade a little .. I merely cut the size of my trade pot to 20% rather than half. But again, even now, I am reluctant. IMHO, because of GOLD politics, and a certain company that wanted this stock back .. we are still too low and should be in the 2's at least. In the mid-range outlook, KNT could very easily make 10 bucks if their size of their resource continues to amaze .. say 24 months.. ?
There are many more around these boards who know goldmines better than I .. but this one I have conviction for .. its way undervalued and those who know are either building positions or are working on ways of getting it out of shareholders' hands. Think politics .. not a nice game.
GLTY/A