Re: stop loss triggered?-right on!
in response to
by
posted on
Dec 05, 2010 12:08PM
New Discovery Resulting in a 20KM Mineralized Gold Belt
That is also a good angle to make money, but has considerable risk if you don't posses the right information. I've mentioned a few times how few shares are on the ASK between .22 and .44 in the last month. Sometimes as little as 200,000 shares on both Alpha and Venture. That means a short hard sell at market into the ask can cause a flash crash.
There are several ways to profit from this including a short. One of the problems though is finding someone to lend you the shares you need to short a stock as small as GNH.
None of the major trading houses will short anything below 5.00.
So you need to be creative in finding a place to borrow stock and they will want total security to cover the position. If you happen to own boatloads of the stock, then that is your best security!
What does that mean to the rest of us?............Well, those that have dry powder and wouldn't mind buying some VERY cheap shares should place bids in the .30's to protect the support and deter any industrious trader from yanking a quick profit by crashing the price. Make it to expensive or increase the risk and this type of crash won't happen.
I've bought to much gnh.....but....... I'm probably your worst enemy in regard to profiteering, as I have been watching the big profit potential by the stock dropping, for weeks now. Not to worry though as I have to much to lose in my overall holdings to plan and attack on the SP........but, I'm not the only one who has seen this interesting trend.
That is where a Market Maker is needed to insure this doesn't happen. The best possible insurance against a manipulated attack is still a positive news release! I hope someone at head office keeps a close eye on the buildup of asks though. Fall asleep and someone might get an itchy trigger finger.
.......................carry