$EYES market is ultra boring this week and today also marks option expiration for the month of July, in EYES case the largest open interest in the calls was at the $5, $7.50 and $10 strikes……market makers made out big selling these calls to investors and expiring them worthless today…….in boring market times small caps tend to get hit lower by hedge funds shorting them as the institutional ownership percentages are much smaller in small caps than mid and large cap stocks……I entered a long position in EYES couple days ago around $4.20 with daily chart technicals entering oversold territory…….the same hedge funds shorting down here will cover and go long and the move higher will come soon……..daily chart and technicals below and bottom indicator I circled was Money Flow…….Money Flow at a downside extreme now, they worked really hard to bring this down……they’ll cover and go long soon as that is what they do at downside extremes…….
@Lakelife5632 it’s difficult for the average investor to identify oversold. you and your experience are invaluable. 99% of ST are pumpers simply looking for momentum plays or waiting on a PR. over time I hope to identify oversold quality companies for swing trades as downside should be limited.. thx!!
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