silver down big ayn strongly up???, page-33

Toll - what do you mean by the SP dropping when the distribution finishes


In a nutshell there are two major types of investors, professional and retail. In general the professionals have vastly more money reserves then retail (including retail combined).
When retail buying is high the professionals have their sell orders waiting happy to feed the frenzy. Eventually the retails run out of money and bought their fill. The problem then arises that there are no big buyers keeping the SP up, the retailers don't have the reserve capital to continually buy and keep it up.

So in effect the big professionals have distributed the shares at the higher SP that they bought much cheaper earlier on over the previous weeks/months. They can't do it in one dump otherwise it forces the SP down (although you do see it occasionally, probably the last of their shares). The distribution phase can be quick or take quite some time.
For an example of lengthy distribution, look at CCC. It has had a Diggers n Drillers recommendation. It took a while but eventually the SP dropped below their buy recommendation. There was plenty of profit taken in between however.

There is also the opposite of distribution, accumulation. Anyway, I still think AYN has a little more upside to go before the SP starts dropping. The ONLY thing keeping the SP up at the moment is the very high demand.
I personally would not enter the trade at this point, if you missed the boat don't swim after it.

PS. I'm not shorting this stock. However if I did short, I would be watching this stock for a clear entry. I also have no intention to buy in when it drops. I just rather people not get burnt too badly playing the stock market.