RE:Current Risks Thanks for your insight. However the chances of .30s again is not to likely. We built strong support above .40 this week with decent volume which slowed down today. Typically stocks like EAT AGS TNY etc move green when the big 5 are having red days. Today was a good sign we could move higher next week as it looks like the LPs could see a future pull back next week. IMO
CautiousInvest wrote: Dilution: Based on the fact they increased the private placement to $5 million and it has closed, we are looking pretty good as shareholders right now. There isn't much of a threat of further dilution for at least 6 months? Maybe the share price pops and they use that as an opportunity to do another financing. We have to watch out for that, but right now we look good from this perspective.
Market Risk: The U.S. market has been running really strong and there is some possibility that it corrects over the next month. However, the current move in the overall U.S. market looks powerful and given that money managers will have to put capital to work into the end of the year, there is a good chance the move keeps on going. I have no crystal ball for this. If the market does correct, we will likely see some wild swings in TNY since the market cap is so small, and if one large broker with a decent position decides to sell - it moves the stock. However, I would look at this as an opportunity to buy more shares, or for new comers to join in. I would love to buy some more in the $0.30 range.
Manipulation: The increase in the private placement, and the fact that Alpha North is invested in the business, means there is probably some pretty decent positions from large brokers and maybe some other funds in TNY. They can push around the stock really easily and weak hands will sell. However, they do this to profit from short selling and to accumulate at better prices. If there is a continued lull in terms of company news, we could see some big players drag the price down over the short term. However, if you have capital to spare, it is probably a good buying opportunity. Why? Because if you average down in the $0.30 range this stock will atleast see another period of time where is till be in the $0.40's. This means you can sell higher.
Business risk: Overall, we still need to see how things play out from a distribution perspective and if things really start to take off. The management is good, so I would guess there is at least going to be some more excitement over this companies potential in 2017. On big upswings its never a bad idea to take profits and buy some more on pull backs. I think there will be many situations like this in 2017. There is a lot of hype behind these businesses which leads to the fear and greed cycle that we've recently seen in Biotech and akin to Tech in the late 90's early 2000's.
Overall, I feel confident right now that if thestock drops further, I will still have a chance to sell it higher in 2017.
GTLA