I dont like this, dont like this at all !!!!!!
this stock falls more than it goes up. if Nazdaq goes down 150 points this stock might see 24-25 again !!
The volume, interest everything is going down the drain..
Now why would a long time investor like me be concerned about short-term price movements ? Because I feel that this stock is not catching up to its competion like EBAY. Stocks like EBAY, AMZN, YHOO never got rocked down 60-70% after they moved to another level, EBAY for example never saw 90 after it hit 100, never saw 150 after it hit 200.
Why is this a problem ?
#1. It draws comparisions with companies like K-Tel, instead of an EBAY, people thing it was a one time spike, a hype stock,
#2. Because it bodes long term of how a company will perform in the future. I have come to believe that for internet companies, the stock price is what drives the companies growth rather that the reverse, the traders and institutional investors together have pushed some of these companies to outrageous levels and refuse to let the rest of them catch up with their pet stocks. Once these companies move into a market cap of billions, it become easier for them to buy out new technology, swallow small start-ups and grow.
The more they buy out new technology, the more they can turn back and say, 'see we told you so, this is a great company, lets double its stockprice again'
Look at AMZN it goes up, up and up, and at every step they keep buying out new technology with petty number of AMZN shares, the book retailer has now become a all product e-tailer, look at AOL, who would have thought 2 years ago when AOl was struggling with competition and handling all its users, that AOL would one day buy out Netscape ? EBAY can do the same in the future, since this stock refuses to go down on any kind of bad news. Hell they can even buy out a company like Vertical net, or an equivalent out there
unless some big institution comes in and backs up onsale with a strong buy soon, with a target of $150, unless Onsale steps up its development on its industrial site soon, starts issuing postive news news releases or advertising, I'm starting to get a bit concerned here, I've made the mistake of hanging on too long on few stocks and gotten burned in the long run,
The similarity is striking,
Bottomline, I dont believe in too much correction in Internet stocks, if they get a 60-75 percent haircut and dont come back right up, you better be careful. It could be a slow canerous death from here. As you know by now, I fully regret not selling at 100 bucks.
But then I'm the guy who got into EBAY at 52, sold at 86, moved my ,money into ONSL, can I blame myself for not selling at 100 this time around ??? ... sucks !!!
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