rationalising the irrational

I have noticed that the SP rises by about 4c to 6c immediately after a good news story, only to be dragged back by a sudden flood of stock which spooks buyers. Any momentum is short lived. Why? IMHO, shorters aren't the only problem. BPT needs a larger volume of buyers to break the shorters' stranglehold and maintain momentum. Well d'uh you say. The real problem is that institutional investors make up 78% of the usual buyers. Unfotunately most of these people aren't buying at the moment because they follow rules - they must tick every box that they have been taught or told to follow. One of them is: no matter how cheap you think the stock you must not buy until it is in a strong upward trend. No institutional investor will invest in BPT until this occurs - they like their jobs too much. Particularly after the bollocking they've had recently. So BPT is trying to perform a rally with roughly a 25% buyer participation. It is my opinion that when market confidence returns, you'll see the rally you want. Institutional investors have been accumulating a bucket full of money after all.