GREY:DRGDF - Post by User
Comment by
smilleyon Mar 21, 2009 4:25pm
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Post# 15860845
RE: RE: More Manipulation
RE: RE: More ManipulationHi justlikethat, I'm just not in the same league as you. I have a core position of 1500 shares that I trade up and down by up to 1000 shares. But to keep commissions down, put in an order for 500 or 1000 shares at an extremely low price. When you see a 100 lot you want, change the price to the ask, partially fill the order and then reduce the bid back out of the range. You can play this game till your order is full for a single transaction or the order expires partially filled at the end of the day or specified time period. The real problem is you have to be glued to the screen to execute well and generally I don't have the time. You can also use this technique to scale into a position over a period of time as a single commission, but generally with only illiquid stocks or highly manipulated stocks like DGC.
As to DGC going to $22 in 6 months is anybodys guess. This time last year I thought SSO was going to $60 in 6 months and today its trading at $19, so who knows? I've been making nice profit (by my standards) just scaling in and out as the price fluctuates in its upchannel. After the drubbing I took in October I'm trying to exercise as much risk control as I possibly can. I can afford to only ride 500 shares to $ 25 but I can't afford to ride 2500 shares down to $ 6. Stoplosses are of no use in a stock like this as the shorts will run the price right through anything within 15% of market price as they see fit. Good luck DGCers!!!