Quite easily explained IMO. Whenever there's news
Post# of 3844
Posted On: 06/12/2014 3:23:29 PM
Re: CashStrapped #3334
Quite easily explained IMO.
Whenever there's news you have a sell-on-the-news-crowd, because they know other news doesn't follow quickly thereafter, so they rather secure the profits they have. Another thing to take into consideration is dilution. I mean this both ways. Traders know that there's always a chance of being dumped on during news events, so they take what they can before they're stuck in a stock. And then of course there's the actual dilution itself. That doesn't happen with every news release, but the likelihood is always there. Even if Martie sells one million shares that is enough to 'kill' a (mini)run.
A few other things you might consider is the intrinsic value of news.
You as a long and others too are happy with today' interview-news, but you can't label that as "
especially great news)" like you did. Don't get me wrong I liked the interview as well, although I spotted one lie, but this isn't the kind of news that propels a stock. Once we get a PR with $$'s attached that will cause a buying spree. Or a new acquisition or merger... anything that adds value will do. Other than that money driven traders will call it fluff & sell... and rebuy lower, waiting for the next event.
I can add to this as another reason, tho it pertains dilution again, that someone recently posted a message with all the dates of previous interviews, and I did a little research on each date and then i noticed that the stock went down over a period of 1 to 3 weeks after each interview, mostly attributed to dilution. This is how it works down here in the OTC. Business plans are great but the execution of it demands alot of money, which can only be generated by either a successful execution of that plan, or by holding the carrot that success will be made. Companies try to entice investors with interviews like this and then sell shares.
Knowing that Martie deliberately stopped updating his OS count on his website and also instructed his TA not to convey these #'s makes me think there is more dilution coming our way... Hence people sell beforehand, either to get out or in hope to buy lower when it actually occurs.
Whenever there's news you have a sell-on-the-news-crowd, because they know other news doesn't follow quickly thereafter, so they rather secure the profits they have. Another thing to take into consideration is dilution. I mean this both ways. Traders know that there's always a chance of being dumped on during news events, so they take what they can before they're stuck in a stock. And then of course there's the actual dilution itself. That doesn't happen with every news release, but the likelihood is always there. Even if Martie sells one million shares that is enough to 'kill' a (mini)run.
A few other things you might consider is the intrinsic value of news.
You as a long and others too are happy with today' interview-news, but you can't label that as "
especially great news)" like you did. Don't get me wrong I liked the interview as well, although I spotted one lie, but this isn't the kind of news that propels a stock. Once we get a PR with $$'s attached that will cause a buying spree. Or a new acquisition or merger... anything that adds value will do. Other than that money driven traders will call it fluff & sell... and rebuy lower, waiting for the next event. I can add to this as another reason, tho it pertains dilution again, that someone recently posted a message with all the dates of previous interviews, and I did a little research on each date and then i noticed that the stock went down over a period of 1 to 3 weeks after each interview, mostly attributed to dilution. This is how it works down here in the OTC. Business plans are great but the execution of it demands alot of money, which can only be generated by either a successful execution of that plan, or by holding the carrot that success will be made. Companies try to entice investors with interviews like this and then sell shares.
Knowing that Martie deliberately stopped updating his OS count on his website and also instructed his TA not to convey these #'s makes me think there is more dilution coming our way... Hence people sell beforehand, either to get out or in hope to buy lower when it actually occurs.
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