Exactly!!! Look at MIDL...that's what happened here...people were buying in at an ask of anywhere from .40 to .50 cents, and forgetting about it! It is now at an ask of .78. Trying to buy before the ask is asking for trouble...if someone wanted to sell you a 98 Cadillac for $5000, if you were reasonably skeptical,(and if you are trading on the internet, I hope you are)you would assume that the car was either stolen, or a total lemon. Why should your stocks be any different? If you are old enough to be here this late, then you are old enough to know that there ain't no free lunch!!
It is the human nature of GREED that is the rise and fall of all trading. People wanting something for nothing and hurting the whole lot of us for it! It's no wonder that many companies view internet trading as a detriment to their value. With the momentum traders, pump & dumpers,(WHATEVER you want to call them) virtually RAPING a company, to those who have declared war against short selling, it is no wonder internet trading has the rep it has.
Ever sit at a blackjack table with a player who takes a hit on a 16 when the dealer has a 6 showing? Usually, the player takes a 10, the dealer takes a 5, everybody loses, but it DIDN'T have to happen had the idiot player held. Buying between the bid and ask is fine, IF everybody holds and there are no shares available for the shorters to cover with. But, just like in the casino, there is some fool trader who will sell, and again, everyone will lose.
Just a Thought...(or two)
Binder |
