Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.
Lumber Liquidators Holdings Inc LL shares were trading lower $4.78 (11 percent) at $36.00 in Wednesday's session. After a brief reprieve from its week-long beatdown on Tuesday following positive comment by a Janney analyst, the issue is getting nailed in today's session.
See Also: U.S. Senator Asks 3 Federal Agencies To Investigate Lumber Liquidators
After ending Tuesday's session ($40.78) well off its high for the day ($44.18) it opened higher (Tuesday's close of $40.78 compared Wednesday's open of $41.65), but only rallied to $41.85 before sharply reversing course.
Once the former low of the move was breached ($38.19), it went into a freefall. It did manage to cling to the $36.00 level for over an hour before embarking on another leg lower to $35.55, then revisiting the $36.00 handle.
Related Link: 8 Damning Quotes From The 60 Minutes Exposé On Lumber Liquidators
The issue is now trading at levels not visited since July 24, 2012. It may destined to fill a long-term gap in price when it gapped higher on July 25 and created a void in price action between $33.72 and $36.35.
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