Molycorp announced after the close of trading today that they had let the CEO Mark Smith go. The reasons were not clear. Read some of the reporting here.
Whenever a stock makes a sharp move I assume there is some inside information causing the move. A couple weeks ago the news was that insiders were buying. There is most likely lots of short covering in this latest rally. Whatever the cause of the rise it may not become public for some time, assuming there IS another reason. I think there is. It is hard to believe that the insiders bought the stock without knowing the impending demise of the CEO.
Trading is almost harder when one listens to the news. The imagination takes hold and the decision process becomes much more complicated. But the test of a move is in the reaction that takes place after the move up. Will buying come in or not. And when.... What will the quality of that buying be? The recent consolidation around $9 was tight, like all buyers were content to sit....
This stock will open down tomorrow. Then it may take a couple days for the results.