CONSIDER THIS, Gizmo....What are the stocks that MM's most want to panic people out of and pick up cheap shares of?
Of course it's the companies like WLGS, TLTG, SHAL, WINR, MRPS, SJIG, etc that they KNOW are very likely going to run up big later precisely because they had, and often continue to have, good news.
And ALL these stocks did RUN UP BIG at some point.
Now you understand why I buy on significant dips!
FTRK was a classic example. This company a year or so ago was trading between $1 and $2, and probably deserved to be around 75 cents.
Then in late December, 1999, the company came out with several excellent news releases. Investors piled in, but always the MM's recognized they were mostly DT's and WAITED THEM OUT.
With every release, somehow the MM's cleverly managed to frustrate buyers and especially frustrate the DayTrader's, and the stock sunk to 20 cents, where it basically sat (with a couple of runs to 40 or so) for about 3-4 months.
The MM's picked up a LOT of cheap shares and then one day not long ago, used a good, but not great PR release to suddenly run up the stock to $1-3/8!
They made a lot of money from that! And now are doing the whole thing over again, with the help of people who bought too high and now are giving up.
MORAL: You have to be clever and buy great stocks when they are CHEAP, and then be patient. Otherwise you can't win at this game.
When a stock has great news like SJIG today, those are the stocks that they MOST want to pick up cheapest and continue picking up cheap shares if they can before they probably really run it.
I bet that SJIG eventually appreciates nicely. |
