Yesterday, after a long and exhausting downward trend, Bebida Beverage Company (PINK:BBDA) literally shook the market to its foundations by a stunning spike of 842%. Moreover, BBDA skyrocketed on an unseen before record volume of 146 million shares.
For those who are trying to investigate the reason behind the titanic surge of BBDA, there is a press release from yesterday which could have pushed the stock up. However, the announced news was hardly of such significance as to cause an 842% up. It seems therefore that other factors took part in the explosive stock scenario from yesterday, which can be perceived only by those who stand behind the curtains of the limited information enterprise. [BANNER]
The company announced yesterday that it had signed a distribution contract with RC Cola of Asheville, North Carolina. According to the press release, by this contract, the company will be able to place its beverage product in various retail stores in the region.
Prior to the stock surge, there was an interesting technical configuration on the stock chart. Namely, a positive divergence had formed between the declining stock trend on one hand and the rising MACD indicator on the other. This might have additionally stimulated the risk taking investors to plunge into the stock trade.
As a result of the tremendous rise from yesterday, BBDA has almost touched the 200-MA. From a technical point of view, the critical moment will come if the stock tries to test the resistance of the 200-MA. However, a limited information company may act in a most surprising and unexpected manner, which was clearly demonstrated by BBDA yesterday.
