I think there is a fair bit of short selling right now, capitalising on sentiment produced by Punches selling and slower growth forecast. At some point they will have to cover. In the mean time if they keep driving the price down it will become more tempting to buy but I think it wise to just sit back for a while and see where it settles over time. I think a lot of companies are likely to see large drops in their share price as the economy most likely worsens. The important question is what type of companies are most likely to navigate safely through a significant downturn. I suspect only time will tell if CLH is one that is adequately prepared for tougher times.
CLH Price at posting:
$1.87 Sentiment: None Disclosure: Held
