topping tail, page-10

Mx,

Thanks for your post and fantastic support. I remember you sold PNA to buy a piano when PNA was in the forties. I thought very highly of you for coming out and discussing why you did it with the rest of the members of the forum. You had no reason to disclose that but you did obviously because PNA is very personal to you and you regard many members of this forum as your friends.

Penicilin:

This is what Mikayla's first post was:

"I think we could possibly get back to about 30 cents. 28 cents or less is still a possibilty."

This was my reply:

"IMHO, don't think it will go to 28 in current environment with current fundamentals. It has already had one good go at trying to reach 28 but failed. 30 maybe but unlikely."

I was offering a rebuttal to Mikayla. Penicilin seems you attacked the wrong poster.

28 being the recent placement and rights price was being dangled in front of bears as a short term target but the closest it got to was 30. That should have flushed out the bears (shorters) or weak hands who would have thought that 28 was likely. Having seen 30, now most punters will see 30 as the new absolute rock bottom for the short to medium term. What happens in this case is that buyers move in before this bottom is reached as they are scared of missing out on what seems to be an absolutely good bargain. That is my view of the psychology of the PNA share price. I see the same situation with KZL. Its rights issue and placement price was 60c. It hit 61.5c in 23/06/09 which is the new bottom, not 60c for short-to-medium term. That's my understanding of the psychology of bottoms post CR. Take it for what it is worth.