GREY:VFGGF - Post by User
Comment by
canoe2000on Jan 28, 2013 4:14pm
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Post# 20901815
RE: rookie question
RE: rookie question Its both of course. My guess is that this stock was sold down by a friend of an aquirer. It is a tried and true way of getting shares prior to a takeout. The small investor panics all the way down and dumps shares. Then just before the takeout the short seller buys frantically near the bottom from the funds who do not want to have a loser on its books by the month end, when they have to report.
The game is to make money off the small guy and less informed. Once you figure out that you are the sheep being shorn, you can learn how to dodge the shepherd and his shears. My method is to buy cheap and sell dear. That requires me to buy when think the end is neigh, like this morning, and sell when I am bragging to my wife. She of course tells me I am crazy when I buy but also when I sell. Such is the reality of small investor emotion. Unfortunately, 80% of investors never learn the game and get burned.
Just my opinion, for what its worth.