Ok I need someone to explain to me the SGI price action today - preferably using small words, because the market is getting hammered and the announcements SGI made was a "that's nice dear" level of excitement as far as I am concerned, yet it's up 20% at a new high of 85c...

Price action welcomed (allowed a bit more of a trim), but I just don't get it!

Good question, @Tom73 -- though sometimes there just isn’t a satisfying answer.

Technically, the answer is simple: buyers are more enthusiastic than sellers. But of course, that just shifts the question -- why are they more enthusiastic?

My guess is that it's a combination of thin liquidity and rising interest from "retail" investors. The announcement was positive, sure, but it’s probably being perceived as more significant than it really is. The order book is so shallow, even a modest $30k market buy could push the price up another 5% from here.

Plus, when you’ve seen a stock run from 10c to 80c, FOMO kicks in. A strong upward trend can become a catalyst in and of itself.

But who really knows? Hopefully the indiscriminate buying continues!

@Tom73

It's a microcap with low liquidity.

Some company-specific good news (a new private label initiative in line with strategy) + (a bad day on the market generally)

Buyers want in, but no-one (or few) want to sell.

Price spikes up +25% (them buyers are determined!)

This then brings in some sellers.

Price settles down.

That's my take on it.

(I've trimmed some at $0.82, $0.85 and $0.83 - as I think the risk-reward looks very different at this level. Still have plenty!)