Maurice, I am unsure about entering Livedoor, mainly because I am not certain it is not a Deadend.
I shy away from fraud-tainted companies on the down-spike when I have no clue what it is they do or even try to do; especially if they try to do stuff relating to technology or investment, as opposed to .... natural resource or infrastructure investment holding (holding, not exploration, construction, production, etc).
I can check out if an offending company holds a natural resource or a infrastructure asset AND have not had a lien registered against said asset in the course of all the contracting that is possible under the sky.
OTOH, it is extraordinarily difficult to check out something that depends on active management, convoluted contracts, exotic business model. There are companies whose business is to check such things out, and to decide whether to speculate or not.
I am suspicious of the prospects when a company depends so much on one main charatcter, especially if the boss and main character is busy doing other stuff from the moment he wakes to the time he goes to sleep again, particularly if he cannot leave his bedroom, toilet, and closet, which is all the same room.
May the Force be with you on Livedoor that may not lead to Deadend. I will watch and wait for your brief.
While I am waiting, I inform you that:
tmcnet.com
"Livedoor invested 1.6 bil. yen in 2 funds at center of fraud scandal+
(Japan Economic Newswire Via Thomson Dialog NewsEdge)TOKYO, Feb. 8_(Kyodo) _ Livedoor Co. and its key arm Livedoor Finance Co. invested some 1.6 billion yen in two of three investment funds at the center of allegations the three were used to transfer back huge illicit gains from sales of new shares in a Livedoor unit to the Livedoor side, according to investigative sources and Livedoor's recent press release" ... continued on link
I dunno, it seems Livedoor makes a living by selling ... paper. This is definitely neither an original nor an exotic business model, and at the end of the cycle, nothing could be left, unlike say a Gold ETF or a Power Generation company.
You may want to unload at any up-spike, especially if such spike is caused by temporary hope and prayer of the masses.
Livedoor investing.reuters.co.uk is currently at 85 US cents, and I would describe the chart as ugly :0)
Do you still remember when I sold Calls and Puts against QCOM I got via selling earlier Puts and Calls, and the gains realized at the end of the trade cycle?! The Livedoor trade may turn out a harder and harsher trade. Or is this more than just a trade for you, but an investment?
It could be that Livedoor is just an out and out Yakusa-backed sham ... you know, the same Yakusa that is still in control of the Japanese parliament and government and that had railroaded Japan to invade all of Asia, and if so, it is a Deadend.
Consider the possibilities, fear the unknowable knowns, and imagine Livedoor at 0.085 US cents;
Fear is a survival trait.
OTOH, I suppose it is OK that you speculated this tranche, because otherwise you might just add to your QCOM speculation.
Chugs, J |
