Sai.Tech Global (NASDAQ: SAI) stock was up 222% on Friday. We'd like to know why this was for several reasons - the most obvious being that unless we know why it rose we'll not know whether SAI will rise more, stop or start to fall again. A secondary reason would be that if it's something about the sector then maybe we can pick up the rise n others along the way. Or even, if we can work out what was the trigger here then we can look for that trigger n entirely different stocks and sectors in the future.
So, yes, Sai.Tech Global's extreme stock price movement - we'd like to know why. Unfortunately there's not much to go on. In fact, in terms of explaining why it tripled on Friday there's absolutely nothing at all. The usual gossip corners, Reddit say, have nothing. There's nothing in the usual newswires, the news search engines. It appears to be just one of those things.
SAI.Tech Group share price from NASDAQ
That price did come off the top a big in the aftermarket but there's nothing that really gives us any clue as to what's going to happen today. The company itself, SAI, hasn't reported anything since it announced that the mining machines are now working in Mexico. But that was a month back. Sure, there's the news that electricity prices for Bitcoin miners are about to go up in Sweden. But that seems like a little too little. Sure, might knock some processing offline, make the hashrate easier etc. But 200% seems extreme there.
There's also the insiders holding their stock. But that's also old news. Why Friday?
The only thing any of us can see here is a small company with a low float. Something triggers interest and buying. Because of the small size and even lower float this drives the price skywards. Which has one advantage, it explains what we see, a 200% SAI stock price rise on no obvious news. Unfortunately it doesn't do us a great deal of good as it doesn't tell us whether this will continue, stop or recede.
Sometimes that's just the best we can do - observe and agree we don't know why. Our preference is to not trade when we're clueless. Some disagree and say just trade the momentum which is fine - but which way's it going to go, that momentum?
