Richard, Honestly. . .any OTC stock that is above 5 dollars makes a terrific short. With the fantastic returns of internet stocks recently it hardly makes sense to choose the far more risky OTC.
Stocks like RNWK, ATHM, DCLK, EXDS all bringing double and triple in very short periods of time. . . .staying with these long with entire portfolio would absolutely have paid off better than any OTC in whihc anyone has made a successful trade.
The OTC is for brokers and companies to make fortunes by loading up with millions of shares at .001, then creating a business plan that is believable and sounds exciting. . .then releasing plenty of PR to investors who buy forcing the price up, until more PR, etc. as high as it will go. . .then companies slowly sell off each and every share into the strength. . . .increase the authorized shares, let it drop, let 6 months pass, so nobody remembers, do a reverse split so that the price goes back up, then release a string of news again to get buyers interested.. .then sell into buying again. . .keep repeating until filthy stinking rich. There are few exceptions to this rule. Please see Scammy Awards on SI.
Hope this helps.
Rande Is |
