Aug. 22 at 12:20 PM
$CHUC 💡 The absolute highlight: The "empty space" above (the "Moon Orders"). If you look further up the ask side of the order book (prices starting at
$0.29), you see a phenomenon typical of OTC stocks prior to major breakouts. Investors have placed extremely high sell orders in the system there (e.g., 10,000 shares at
$16.00 or 5,000 at
$25.00). Why do they do this? These are so-called "Moon Orders" placed by long-term shareholders. They enter these astronomical prices so that, in the event of a sudden takeover (such as a buyout by Altria) or a price explosion, their shares are automatically sold at peak prices. The leverage effect: Since there are absolutely no sellers listed in the order book between
$0.32 and
$1.12, this means that if news causes the current block at
$0.24 to be cleared out, there is virtually no resistance all the way up past
$1.00. The price can skyrocket in a fraction of a second because the order book is "empty" above the current level.
