Mattel: Bears Ready to Romp

Volatility squeezes work both ways.

A very narrow trading range will often end with a bang. The stock just seems sleepy, meandering around in a little channel as if no one really cares about the shares.

Buyers are not so eager that they will push the price too high; nor are they too disciplined that they'll refrain from buying at current levels. At the same time, sellers are not so eager that they just start banging out bids indiscriminately; nor are they so stubborn that they hold out for higher prices. ...