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Microcap & Penny Stocks : Tokyo Joe's Cafe / Anything goes -- Ignore unavailable to you. Want to Upgrade?

To: PitBull who wrote (16112)	5/8/1998 11:25:00 PM
From: Jack Zahran	Read Replies (1) \| Respond to of 34592

A lot of the picks on this thread are momentum picks and momentum picks should not be treated like intermediate or long term investments. I don't know entusiast if it is really in a groups interests to have a sell range as a group, especially on momentum picks. It does have a positive effect when we all buy as a group. But, I think what is happening is that everyone is trying to sell before the other guy. Individual investors need to ride with the Market as a whole. If we create our own market in a stock, and the rest of the market ignores us, then we will only feed on each other. Shorts who see a sudden run-up in a stock without any basis may at first be concerned, but the pattern clearly shows them that daytraders are manipulating. So they just short into all the buys and kill the momentum. Then when you go to sell, the price drops and they cover at your loss. Don't forget that the other guy is always better and smarter. Even if the "team works as a team" (and this is a very naive statement, I'll explain later, see my note below) we can't compete with the brokers (yet!) So when a momentum play is called, you have to understand that smart daytraders are looking to scalp an 1/8 or a quarter. They do this 50 times a day with 1000 to 5000 shares depending on volume and security. Do the math. Many though jump in, watch the stock go up 1/2 point and then quickly drop and volume disappear. Every once and a while a stock will jump so fast and furious you just let it run and then get out it starts pulling back. Everyone is looking for major money on every pick. That is their own greed or inexperience. If you can get an 1/8 on a pick, it's a win, anything more is bonus. Take it, jump to the next pick. Do it just ten times a day every day for a week. See how quickly the money grows. (Of course, you got to trade at least 1K shares on each pick and use a broker is going to give you 20-40 on a round trip.) Some traders do this 100 times a day, the really good ones, trade long and short on the same stock within its trading range a few times, scalping both ways. *Note: Many who post so frequently on this thread and or get extremely defensive are so because they are being paid to manipulate stocks. Some pickers on this thread buy pennies in 10,000 to 100,000 lots and they make a call get their 1/8 or 1/4 on their followers. Others are actually given thousands upon thousands of shares of a penny company to hype them on threads like this and drive the price up. These are the same guys who used to cold call you at home and try to sell you the same pennies over the phone while you were trying to enjoy dinner with your family.