I disagree putsayo doubt sophs are doing anything malicious or illegal here, it's simply not worth the potential legal or reputational reprocussions.
Theres a much simpler explaination rather than malicious intent. SOF is 50% retail so retail has quite a large influence on the share price and the majority of day to day investors like you and me are irrational. Especially during this year where a lot of fresh money / younger generations have stepped into the markets, a lot of retails don't have a background in finance nor do their due dilligence when investing, they see a stock rocket up and they jump on the band wagen, see examples of Tesla where it's trading at a price earnings of 1300 which means that they need 1300 years to pay off your principle assuming 100% of retained earnings go to dividends, of course this is also assuming 0% profit growth which is unreasonable but still.
Examples closer to home would include BNPL where they see the success of APT and suddenly every BNPL company is worth it's name in gold without considering that it's impossible for a new comer to have the same first movers advantage as the top dogs.
With TSO we had an extremely quick jump in share price on good announcements, many of these new investors would have undoubtablly bought their share expecting a sustained increase and when unfortunately TSO did not deliver for reasons outside our control (Weakness in gold, exploration sectors in general); people like our good friend
@DFthegreat. The same people that poured into the stock without doing their due dilligence would sell just as fast.
Selling causes more selling and when it dropped through key technicals more people sold, even the biggest bulls gotta stop buying when they see no bottom and a -28% in 2 weeks right?
To put it simply the faster something goes up the faster something drops that's the definition of volatility. Theres nothing wrong with sophs sitting on the sidelines, big players would have no reason to buy until they see a bottoming like i said.
What we need is a complete capitulation in share holders, when all the bulls are gone and have turned bearish that would be the bottom and i'd be extremely happy to top up significantly there. Given the prospects of this project many eyes are waiting for this, best to stop ramping postive comments on these posts, i know for a fact many people in boutiques roam HC to gauge sentiment and when sentiment is the worst it's the best time to buy.
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