Read this news.
If you are a value investor, the chances of you buying this company is slim. During its peak, it was at a high of 4 plus in 2005 and have been tumbling for the last 15 years to an ultra low of 10 cents stock in 2020.
So, today's spike of 138% is at best a speculative move by some groups who wanted to push the price up ( pump and dump game). Retail traders who are late to the game may be lured to come in and buy at high price before they get abandoned.
Yes, the descending wedge and ascending wedge are powerful patterns that can bring price levels to an exponential returns but one has to be mindful and not end up chasing every single stocks that display this pattern.
Don't let your friends who got lucky betting on this stock start to influence you and to get even, you got in at say 0.255 thinking it has lots of room to go up. Yes, it may or it may not. Before you invest in this company, do you understand its business ? Why would a 4+ dollar company suffered such a year after year of stock price decline ? Would you not be concerned ?
Emotions are often the factor that got in the way of logic in the game of trading/investing. The need to be accepted , the greed to compete with your peers or the fear of not being able to catch up, etc.
Then again, the broker would care less your reasons for buying or selling. With dwindling commissions to earn, they would not be offering personalised service to enquire your financial knowledge before investing. That is why the barriers to entry for stock trading is so low and everyone who got in think it is an easy way to make money.
Trade safely !
If you are a value investor, the chances of you buying this company is slim. During its peak, it was at a high of 4 plus in 2005 and have been tumbling for the last 15 years to an ultra low of 10 cents stock in 2020.
So, today's spike of 138% is at best a speculative move by some groups who wanted to push the price up ( pump and dump game). Retail traders who are late to the game may be lured to come in and buy at high price before they get abandoned.
Yes, the descending wedge and ascending wedge are powerful patterns that can bring price levels to an exponential returns but one has to be mindful and not end up chasing every single stocks that display this pattern.
Don't let your friends who got lucky betting on this stock start to influence you and to get even, you got in at say 0.255 thinking it has lots of room to go up. Yes, it may or it may not. Before you invest in this company, do you understand its business ? Why would a 4+ dollar company suffered such a year after year of stock price decline ? Would you not be concerned ?
Emotions are often the factor that got in the way of logic in the game of trading/investing. The need to be accepted , the greed to compete with your peers or the fear of not being able to catch up, etc.
Then again, the broker would care less your reasons for buying or selling. With dwindling commissions to earn, they would not be offering personalised service to enquire your financial knowledge before investing. That is why the barriers to entry for stock trading is so low and everyone who got in think it is an easy way to make money.
Trade safely !
Comment:
www.scmp.com/busines...eaving-investors-and
Comment:
The challenge of buying such company is TIMING. It has to be precise and probably a stroke of luck. Yes, if you are lucky, you could make the 1000 plus percent profits but if you failed to take your profits, the results could be equally disastrous.
So, the right question to ask then would be - must you take on such risky trades ? Are there opportunities out there that would not give your heart a shock or cause sleepless night? There are abundant of it but perhaps the rise may not be as parabolic as this one, offering some traders that adrenaline rush and greatest satisfaction.
So, the right question to ask then would be - must you take on such risky trades ? Are there opportunities out there that would not give your heart a shock or cause sleepless night? There are abundant of it but perhaps the rise may not be as parabolic as this one, offering some traders that adrenaline rush and greatest satisfaction.
Comment:
This pump and dump game probably created some millionaires overnight but it also busted the accounts of many who had no ideas what they are doing and following blindly.....
Comment:
Those who still holds and don't know what to do please read my comments on Gold Financial