Better to catch falling knife than catching flying knifeLoss for longs from here, considering worst case condition of bankruptcy is only $1.85 per share. Whereas, in flying knife conditions, the share price may go to $8 as RMP is almost debt-free, lowest cost producer, with minimum overhead. What is flying knife? it happens when a buy out is imminent which is very possible at this price. At this circumstances, the shorts will lose at least $5 - $6 per share as they will be crazy to catch the FLYING knife. The flying knife will be able to cut the shorts from any direction. Many of the shorts go bankrupt as loss may reach infinity.