Did AIG get a short squeeze today or what?

I don't know whether to go long or short with this thing. This stock is crazy. I believe the stock is overvalued and should be shorted because I think it will go down to about $25 eventually but this stock keeps getting a short squeeze at around $38/share which sometimes send the stock past $50/share. I am thinking that at $38/share is a good time to go long just because it keeps getting squeezed at that price but at the same time I don't want to get caught with my pants down and have the bottom fall out from underneath it too.

$25?

Ha!

I'm thinking $0.00 is the long range "goal."

Running the numbers it is very difficult to conclude that AIG is actually anything but insolvent.

On the other hand, I agree with you -- the trading in this stock is largely nuts; a function of too many speculators crossing too many people who own the stock but don't want to crossing too many people trying to make money shorting it.

My shorts are at break even at the moment and I am thinking about pulling the plug altogether on this one -- it's over my head. I would never go long.



Disclosure: I am short AIG and long AIG puts in my speculative portfolio.

From what I've heard, today's movement was mostly due to the comments made AIG's CEO, again. It seems like everytime that guy opens his mouth, AIG's stock goes up 10 or 20 percent. Tomorrow will definitely be a busy and volatile today.