volatility

We are currently seeing extreme volatility in LYC. This once again makes LYC a traders stock. This in turn creates more volatility. The price is obviously being manipulated. There is more than one big seller I believe. There are also a lot of small sellers that add to the confusion. Adding also to the volatility is the probability that a lot of stops are being triggered, firstly by stop losses but also by traders taking a few ticks profit.

So what is the answer. I am answering the situation with a mixture of trading and accumulation. Buy a few then sell enough at a higher price to get a few freebies from the trade. I don't see much risk. The fundamentals will surface as the dominating influence once this bout of profit taking eases. I see that there will be little profit for the sellers at a price less than $1.40 so that should be a base that will ease the selling. Once the selling at that price eases then the fundamentals will cause a rise. I expect the price to go up and down until the main sellers are no longer with us or they have achieved their selling objective and become buyers again.

In the meantime interested long term investors have a chance to accumulate. Assuming the fundamentals are sound, I believe they are, a few cents here or there on a buy now will mean little in the long run.