ONSL - For those of you with more risk tolerance looking for the big kill. ONSL may be your bet. With EBAY and UBID getting all the attention of late, it will only be a little longer until ONSL receives renewed interest. This is one of those issues as I see it that can drop a dramatic 15-20 points or could rise 80 ... within a months time. I would not mind a small wager on this issue at this time, especially if we can eek out another day or two of Inet selling and market indecision. This issue has a good following and, although, really the first auction site, it is still considered a second tier Inet .... I don't think that will last. What is the risk factor? How will the dilution on many auction type sites affect ONSL. EBAY, EGGS, UBID ...... all are competing for the same business and it could take its toll.....but not yet.
You can look at most Inets in two ways as I do. With many companies, most appreciation and volume activity will take place around earnings season while expectation is high. During periods of lackluster price action and no news, the price will stagnate within a narrow range. Taking a position during an earnings announcement is a risky proposition at best.
The Inet however, trade under a different umbrella. Psychologoy and Sentiment move them violently one way, then the next, despite earnings season or not. This can make for some very nice trades.
I suggest keeping a few of your favorite issues around that see good action as they near earnings and play those during these periods. But also keep a few of those ever-hot Inets that could blow at any second for interim trading. I have heard no one say that Inet trading is becoming boring and there is always a play out there.
TJ |
