Risk and Reward guys
Risk and Reward, isn't that the name of the game. If someone who is in the stock market game can't take the risk then they should get out and put their money into CD's and Treasury Bills. Otherwise there is always risk involved when you invest into stocks. Look at Cendant, a great company, can't be a scam, but guess what? It uncovers accounting irregularities and your investment gets cut in half. Now how is that for risk and reward. The truth is anything can happen in this inflated market and you must invest your money for maximum gain.
as you'll never truly be able to estimate the risk in any stock.
Let's look at a situation, if the reward is great or worth it in your opinion, then by all means go for it. Example, put $4000 of your profit from another stock (that is money you can lose) and put it into a stock like um how about DGIV when it was at 40 cent. Now, it might have been a scam, and it still might be (who knows, no matter how legit it looks, it can always be faked) but look at your investment now, a cool 60k. Risking $4000 for $60000, I'll take that anytime even if it means I could lose all of my initial investment.
Now we have a situation here where GNNX on paper and on news, looks too good to be true. (Usually when it looks too good to be true, it usually is but in this case don't you guys think that this stock looks almost TOO fishy, TOO little information, TOO easy for people to dismiss. If it was a scam, and I am not saying if it is or not, then haven't the people behind the stock made it Too easy to discover that it is scam. Then why in all this confusion is this stock going up?
Risk and Reward, thats all there is to it, remember BAAT, they have a car or battery thats really too good to be true and they have been trying to demonstrate it to prove a point. I heard about BAAT when it was at 20 cents and at that point in time, the same discussion came up whether it was a scam or not. BAAT appreciated like a bat out of hell until the investigation news came out, but even now, the stock remained 5 times higher than 20 cents. For those who felt it was risky and never got in at higher prices, they must feel good. But, so are the investors and speculators who bought at 20 cents and have made at least 5 times the money they invested.
So in my opinion, its all a matter of how much risk you want to take. The greater the risk, the greater the reward. I have never heard of GNNX until yesterday when I saw this thread on SI's new topics. Came in and took a look, the initial fundamentals looked tempting enough, the news was good and the stock was trading well, so I just put some of the profits from my IFLY trade into this stock. So what if I lost it all, it was profit from another trade. Instead of contemplating, I acted based solely on risk and reward and experience from trading. Today I have 100% profit, sold out my initial position and have let the rest ride while many of you are still contemplating to buy in or are arguing about downside aspect of GNNX or whether or not its a scam.
For all the bulls on this thread, especially boob and charger, I thank you for all the relevant information that have been posted. And for the naysayers, you know I agree with you guys, its better to be safe than sorry. Its better to know that the company is for real instead of a scam. Its better to be confident of the stock you are investing in. But also, its better if you guys didn't invest in quick rising BB's on the OTC because by the time you have finished investigating and contemplating, it will be too late and you will have missed a good risk and reward opportunity.
Oh by the way, the point about stock dilution, look at VLNT, one of my regretable forever investments, when you see constant volume and constant buying and the price don't change or starts going down and you are sure that the price should have gone up based on the float and buying volume. Then thats when you should worry about stock dilution. I watched GNNX for the last two days and as of now, I haven't noticed anything out of the ordinary, the stock is moving up on average volume of 2 million. I would say pretty normal for GNNX's float IMHO. Of course everything can change, watch for it.
pt |
