Thanks for the explanation. I have learnt a lot and not blaming...

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taimoor164

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02/07/18

03:20

Post #: 34071192
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Originally posted by Danzar ↑

I think you should take time to learn from this. No resource stock moves in straight line. It's the nature of the sector. If you buy early and the stock runs, that's only great if you sell and take your profits, at the right time. If you hold, I guarantee you in will come back down.

There are numerous traps in this sector. Even when a company hits the jackpot, as soon as is moves into feasibility stage, and mine development, your SP tanks - always. It takes many many years to go from exploration to full production, smart money knows this, so they stick the company on their long-term watchlist and exit.

Think about the consequences if there were no traders pumping resource stocks? You'd have a company with a flat, minuscule value for years. Imagine trying to capital raise? The company would be issuing gazillions of shares constantly, diluting the value of existing holders. Essentially you wouldn't have a company. It would never work.

Specs are for trading, unless you know something everyone else doesn't or you're willing to get set in a position early and then forget about the stock. That means, not watching every pip movement and not talking about the stock on a forum.

So have a trading plan, manage your trades, set your stop losses and deal with it. Importantly, never blame anyone or anything other than yourself.

All of this is my opinion. Whatever happens, everyone who trades or invests in resource stocks should print this and stick it on the wall next to their computer. It will help you avoid the traps I've mentioned above.

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Thanks for the explanation. I have learnt a lot and not blaming anyone. Just sharing my opinion as to how I see the trading pattern in spec stocks and how wicked people through baits to earn money. As far as I am concerned, I am not much convinced with this stock on fundamental grounds anymore and hence would stay away. There are lot more opportunities to put ones hard earned money...

VIC Price at posting: 0.8¢ Sentiment: Sell Disclosure: Not Held
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0 Great analysis

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Thanks for the explanation. I have learnt a lot and not blaming...

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