Over the past 3 weeks CBAK has rallied 23%. The selling volumes have also diminished and are more in line with historical 3-month averages. With 13.61% of the float sold short this stock is positioned to rocket upon the tiniest bit of good news.
The option players provide a compelling reading for the front month of June. The significant build up of calls and puts at the $ 5 mark suggests that the stock will trade around this mark in the coming month.
Going forward I expect to see further stock price appreciation for CBAK.
Disclosure: The author is long CBAK.
CBAK 1-yr chart