BPP, logic: we trade for point gains, not necessarily percentage gains (i.e., CDWC had an $8 point gain today, which with 1000 shares, is $8000 gain). Relative to inherent risk associated with stocks trading below $5, most professional traders with which I associate, would buy 1000 shares of CDWC and 1000 shares of SYQT, but not $65,000 worth of SYQT. Stocks below $5 are too easily manipulated by momentum traders and may be difficult to exit on the downside should a pending report not fit the expectations. Until you have solid evidence which proves the stock is in a solid position for an upward trend, then you're generally wasting your time and money.
I hope you do get rich. You can buy my old house because I'm building a new one.
I should have shorted SYQT above $12. SYQT was very difficult to short below $10 due to the uptick rule. No, not short. Paying attention. |
