It may seem like SEG is not participating in the run for silver today, but there was a large iceberg order capping the share price most of the day, until more than a quarter million shares had changed hands. I was on the bid right below that and not one seller came out to hit the bid all day. Every share sold today was from a motivated buyer stepping up to take out the offer, and that is bullish as hell. Getting rid of a large block of overhead resistance is also bullish.
I have been happy to average down a few shares at a time for many months in SEG. The profile of this company is just too bullish to ignore, no matter how poorly the stock has performed over the last year. Since I have a high risk tolerance and enough patience to just put up with a weak trading stock, I am glad to gradually build up my position. The downside is that its frustrating to wait it out, but the upside is that when it finally gets up and starts running, I will be leveraged with that much more shares to catch a big profit.
Just from the market depth today, there is very little stock for sale all the way up to 95 cents, which is as far as my data goes. I would guess that once we finish cleaning up the shares, there is probably not much buying needed to take this well above the $1 level. One by one, I have seen many stocks that were in similar downward spirals suddenly get life and make a rapid up move. AGI, GPR, and AUN are just a few examples in Mexico. I think we are one big NR away from the same kind of move for SEG.
For full disclosure, SEG is a paid advertiser on my website, I own shares, and I have a bid outstanding to buy more at 79 cents.
cheers!
mike
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