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Microcap & Penny Stocks : DCI Telecommunications - DCTC Today

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To: JOE MEDSKER who wrote (12208)12/7/1998 11:35:00 AM
From: BigWave Dave   of 19331
 
We are assuming that the market price of DCI has any correlation with reality. It doesn't. If we had an efficient market, then we would not see such volatility. When a company doubles, or drops 50%, did something major happen to its Balance sheet? NO When the yen goes from 150 to 80, then back to 130, have the assets of those countries been halved? NO.

I have stated in the past that a listing elsewhere will have a more profound effect on the price than the great news announced this morning. We will base lower, and then begin another move back up.

Considering:
Lowered costs for existing contracts thorough this news
A large short still open
A CUSIP change leading to the elimination of the short
Profitable quarter coming

Great news, YES. But only overwhelming news could have prevented this mornings drop, IMO. As predictable as was this morning drop, it will likewise rise with upcoming profitability/short covering/NAZ or AMEX listing.
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