what about the bk laywer they hired?I'm not quite sure how to proceed here. I might even cut my position as I'm kinda big on it
From memory PCX hired a lawyer many weeks (or even months) before they filed Chapter 11. In that time PCX stock had a 100% type gain from its multi-week low, before the eventual decline in the days before BK. However with the 2018 bond selling today and the way the stock has acted in the last 20 minutes following the break below $3.90 it does seem like it might be a matter of days. I took the easier option of selling out of the money call options. Just collect some nice premium and I am happy to get assigned in the event there is a massive rally. Here is a good article from 21 August about the company's debt burden: http://www.bloomberg.com/news/2012-...eds-new-loan-agreement-corporate-finance.html
What made the short attractive was that the stock barely reacted when I got the bk lawyer news. There is a potential for a morning panic just based on that
lol. If I wanted I could tweet "$OSG, my sources indicate the company will file for chap 11 bk by midnight" and tank the stock. But I won't play these scumbag games
and wait for me to short more as well. Also the rumor would have more credibility if you used the phrases "sources close to the situation" or "sources who could not be identified because they are not authorized to speak publicly"
Yeah, someone could just create a BS account like 'CreditReporter' and move the stock in a flash. Just last week someone manipulated VRNG a ton saying that GOOG would settle the suit VRNG has I want to be aware of this so I don't get caught in these lies