Some things I've noticed.House number 015 was an active buyer of the stock between $9.40 and $9.60 earlier in the week. They were buying tens of thousands of shares per day, which helped support the price. What I couldn't understand was the continued selling pressure into the multitude of 5000 share bid lots. Now that house 015 has completed their purchase, or so it appears, the support is abysmal. There seem to be houses eager to liquidate the stock, but there are no institutional buyers. It's the small guys who are doing almost all the buying.
I am getting increasingly worried; distribution is never a good sign. I'm glad to see the gas price holding steady at the $3.00 level, and oil, I'm certain, will continue to hold up well at current levels. However, can we say that the stock is undervalued under current market conditions? If this is such a good price, where are all the buyers?
The only encouraging aspect of all this is that the sellers seem to be reluctant to sell below $9.00.
Best,
I.