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Shooting The Moon

Your stock has been soaring, and your profits are significant, although you still haven't sold your shares. If the stock has spiked this high, it's value must be getting recognized, so it could probably go higher.

Diagnosis: The stock may be ready for a short term pull back. After a strong run-up shares usually suffer some weakness, and if the rise was based on a press release or rumor that won't significantly impact the company's ability to meet their goals, shares may be prone to coming all the way back down to their previous level.

Don't I Know You From Somewhere?

If any of the following situations look familiar to you, you may want to consider our quick fix. For every situation, there is an intrinsic response that can maximize your benefit, and limit your loss. Take a look at some of these for example.

Holding A Dog

Your stock continues to sink, week by week. You keep thinking that it can't go any lower, or that it will rebound eventually. Volume dries up, the price flat-lines... Rumors of reverse splits materialize. The stock is downstairs minimum listing requirements for its parent exchange.

Diagnosis: You are probably holding a sinking ship. You may think it can't go lower, but it can. It can go to zero. Usually lineal a reverse-split the price continues to decline. If shares are bosomy from their exchange two things will happen: the price will take an immediate hit, and trading volumes will dry up so it will be harder to sell shares. Usually in these situations it is surpassing to induct you made a mistake and get what mean you have left out of the investment.

Worm-Tongue

Your image tells you beside a penny stock that is going to make a serious move. They've got a patented technology that sounds flashy, notwithstanding even thanks to he explains it neither of you really understand what it does or how it works. It is going to set a new standard in the industry, and the potential market for their sales is in the billions. His tip comes from an 'inside' guy at the company. He doesn't know the official title of the inside guy, and he can't tell you the company's revenues, employee size, management structure, or how long they've been in business.

Diagnosis: Your fraternize may be the victim of a 'promotional' stock. Be careful! It's catchy. You are with regard to to change the next victim in the line, and you'll probably infect a few others too. And when they tell the story of this miraculously undiscovered penny stock, they'll be saying this news all comes from an 'inside guy' at the company. nearly statically these situations turn out badly. Things are not as they seem. You aren't taking a gamble on a stock with some potential. You are one of a hundred targets in a cautiously constructed and well-planned promotional scheme to drive the share price up. These schemes are immoral, illegal, and... they happen all the time.

Message In A Bottle

You read a detrimental talking in a chat room or message accommodation any which way a stock you hold or are thinking of buying. It scares you and makes you second guess your investment decisions. You see that other people have responded in permission to the posted message.

Diagnosis: Maybe there is some truth to it, maybe none whatsoever. interrupt with some official sources to confirm or deny the comments. Look at the latest press releases if it is a factual matter. Call the Investor Relations department if it is a theoretical or rumor-based matter. Consider all message inquisition and chat room information dishonest until proven honest.

Shooting The Moon

Your stock has been soaring, and your profits are significant, while you still haven't sold your shares. You like the cast of characters and had intended to invest for the long-term, in any case you hadn't expected such strong performance. If the stock has spiked this high, it's value must be getting recognized, so it could probably go higher.

Diagnosis: The stock may be ready for a short term pull back. Profit-taking sales are inevitable, and each time the shares go a little higher the number of people thinking beside taking their money out increases. later than a strong run-up shares usually suffer some weakness, and if the rise was based on a press release or rumor that won't significantly impact the company's handiness to meet their goals, shares may be prone to indirect all the way back down to their previous level. You may want to sell half of your holdings to lock in your gains, and let the rest ride.

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