I have given this some thought...I was and still am, totally...

I have given this some thought...

I was and still am, totally dumbfounded by the flood of recent selling.

I have spoken to associates close to the company and assured myself there is no real reason for it...yet in spite of this, the bloody selling continues.

One would be foolish to ignore it...but at the same time, one might be even more foolish to act on it.

I see several posibilities...

Scenario 1

We may simply be witnessing a major "churn and shake" operation...by whom I am unsure?

The purpose of such activity is to shake the short-term money from the stock....basically by breaking the spirit of the temporary holders. The result is that shares are transfered into the hands of long term supporters...after all, who else would buy shares in the face of such determined selling?

Scenario 2

Another alternative is that "someone" doesn't want to see the options "in the money"...perhaps a possible underwriter, or large shareholder/s.

In this case they would do their best to cap the stock so the options expire worthless.

It seems they will have a decent job ahead of them however?

Scenario 3

The last scenario is that a possible suitor is trying to cap the stock, in order to pick up as many cheap options and stock as possible, thereby gaining a strong position in the stock?

All of these scenarios sort of fit what I am seeing on screen.

Cheers!