YHC Surges 53% in Volatile Session: Reverse Split Aftermath Sparks Chaos

• LQR House (YHC) rockets 53% to $6.05, hitting a day high of $6.50 after a 25.87% pre-market plunge following its 1-for-35 reverse split
• Robert Leshner secures 56.8% stake for $2.03M, triggering a corporate governance overhaul
• 52-week range widens from $1.13 to $98,000+, with turnover spiking to 939.79%

In a historic intraday swing, YHC’s stock dances between collapse and euphoria, fueled by structural shifts and corporate power plays. The $6.05 close marks a dramatic rebound from yesterday’s 25% pre-market crash, with traders now dissecting the interplay of reverse split mechanics and activist ownership.

Reverse Split Catalysts & Activist Takeover Drive Volatility
The surge follows LQR House’s 1-for-35 reverse split, which concentrated ownership and triggered a pre-market plunge as shares dropped from $165.71 (post-split adjusted) to $122.95. However, today’s rally reflects a speculative rebound, amplified by Robert Leshner’s $2.03 million acquisition of 56.8% equity. This stake gives him direct control to replace the board, creating a ‘new chapter’ narrative for investors. The dynamic PE ratio (-0.67) underscores losses, but traders are pricing in potential strategic pivots under new leadership.

Technical Overbought Warning: Bollinger Bands & MACD Signal Caution
• MACD: 0.513 vs Signal 0.235 (bullish crossover, histogram 0.279)
• RSI: 77.32 (overbought threshold of 70 breached)
• Bollinger Bands: Upper $3.70, Middle $1.87 (post-split adjusted), Lower $0.04 (extreme volatility compression)
• 30-day Support: $1.28–$1.35 (pre-split $42.75–$45.50)

Despite bullish momentum, the RSI overbought signal warns of a potential pullback. Aggressive traders might target a retrace to the upper Bollinger Band ($6.50) or wait for a dip below $5.50 (post-split adjusted $1.87). The absence of liquid options contracts limits premium plays, but short-term traders could fade overextensions using tight stop-losses. Watch the 30-day support zone for confirmation of sustainability.

Backtest LQR House Stock Performance
The 53% intraday surge in YHC has historically led to mixed short-to-medium-term performance. While the 3-day win rate is high at 41.94%, the returns over 10 and 30 days are negative at -1.13% and -2.71%, respectively. This suggests that while the ETF may bounce back quickly after a strong day, investors may not see continued positive returns in the following days.

Volatility Unlocked: YHC’s Fate Hinges on Governance Shakeup
YHC’s 53% surge is a high-risk bet on corporate restructuring success. While the reverse split stabilized the stock price, the real test lies in Leshner’s ability to execute strategic plans. The sector’s muted performance—IPG’s 2.89% rise highlights broader caution—underscores YHC’s outlier status. Investors should monitor the $5.50 level (post-split $1.87) as a critical support, while tracking governance changes and liquidity metrics. Action Alert: Fade overbought extremes or wait for a confirmed breakout above $6.50 before doubling down.