The STRONG MONEY Buying Campain of CIMT

ACTS ONE & TWO
BUYING & SHORTING TO ACCUMULATE

Sometimes the battle is not a conflict of opinion between bulls and bears but rather the “feeding frenzy” between STRONG and HOT MONEY when they are on the same side. STRONG MONEY affects the supply and demand of a stock where as HOT MONEY greases the skids with liquidity. When they are feeding on the same side of a market the results can be explosive like with CIMT earlier this year.

TIME FRAME

FEB-2012 to MAY-2012

JUN-2012 to SEPT-2012

SHANNON SIGNAL

QUITE

NOISY

PRICE UP FROM 3 TO 5 DOWN FROM 5 TO 3
NON-RANDOM CONSEC DAYS Marks transition from noisy   to quiet in SHANNON signal Marks transition from quiet   to noisy in SHANNON signal
Marks transition of UPWARD   PRICE from 3 to 5
price hits 52 week high
Marks transition of DOWNWARD   PRICE from 5 to 3

INTENTION

BUY TO ACCUMULATE

SHORT TO ACCUMULATE

  CIMT20130428-1
STRONG MONEY Playbook

Having bought steadily by STRONG MONEY the first half of year the price hits a 52 week high which then brings CIMT to the radar of HOT MONEY. That being the case the price trend is broken by STRONG MONEY and buying to accumulate ends while discouraging HOT MONEY from following.

Since STRONG MONEY had not gotten its fill of the stock, and cannot by buy more without running the price up on itself. STRONG MONEY switches to the shorting-to-accumulate phase in which the stock will be bought at lower and lower prices without running the price up.

ACT THREE
HOT MONEY LETS PRICE RUN AWAY

TIME FRAME

SEPT-2012 to JAN-2013

SHANNON SIGNAL

TRANSITIONS TO QUIET

PRICE UP FROM 3 TO 7.5
NON-RANDOM CONSEC DAYS Marks transition from noisy  to quite in SHANNON signal
Marks transition of UPWARD  PRICE from 3 to 7.5

INTENTION

BUY TO ACCUMULATE
(PRICE RUNS AWAY)

CIMT20130428-1B
During the 2nd buy-to-accumulate the price gets away from STRONG MONEY as hot money quickly begins bidding the price up. Share supply has dwindled and any sustained bias in buying or selling has a demontratable influnce on price. By now participants have been watching DDD rise dramatically and the 3D printing story was getting out CIMT could not be contained.

ACT FOUR
STRONG MONEY GETS FILL AT LOWER PRICE

TIME FRAME

JAN-2013 to PRESENT

SHANNON SIGNAL

TRANSITION TO NOISE

PRICE HAMMERED FROM 12.5 TO 6
NON-RANDOM CONSEC DAYS Marks transition from quite to noisy in SHANNON signal
MAR-2013 Marks pounding DOWNWARD PRICE in from 12.5 to 6

INTENTION

SHORT TO ACCUMULATE
SHORT TO ISSUE SHARES @ LOWER PRICE

In April 2013 CIMT had plans to issue over several hundred million dollars in stock that would NOT be at $12.5 or higher. Thus CIMT and primary holders being the STRONG MONEY hammered the stock price from $12.50 to $6.00 reverting the grow slope to acceptable levels for the issuance on new shares.

The only question now is…
“Has STRONG MONEY gotten its fill?”

CIMT20130428-2
ENJOY!!!

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