key selene results out any day , page-21

Sunnysnake and Fraser123,

At this stage of the game the premium of the options is irrelevant. It comes down to how risk averse you are.

It applies to Oilers as well.

Ex:

With an oiler you know the approximate spud date.
You buy the option well before the market is awake to the potential after doing plenty of research.

The momentum slowly builds, the hype begins to grow, the frenzy takes place. During that time an option may grow 30% - 100% where as the FPS may have only have grown 20% over that time span. The scalpers usually offload just before the announcement. They won't take the further risk on waiting for the news.

In this case, we are not talking about a One Hit Wonder.
They have a number of announcements that will move the SP over the next 4 weeks with the Selene due anytime soon within the next week.

You are paying a big premium with high expectations as the risk is not that high if you have done all the preliminary research.

Assume the Selene announcement increases the FPS to .33. Thats .11 cents from where they are now or a 50% above entry point. The KALO would closely follow to around .18 cents. Thats roughly a 100% gain in a very short space of time.

The D/T will try to ride it as high as possible and then offload. The momentum will begin to get back to some equilibrium between the FPS and the Options. That is where the premium will start to build in again until the next leadup of announcements.

If you take a longer term view, the game plan would be to accumulate more during the dips as you become more certain of the story unfolding.

This volatile market is fantastic for anyone who is confident in a growing company to be able to buy when Fear sets in. Use it to your advantage and think outside the square. There are plenty here with patience doing it.

Of course, it equally applies to the downside.
We won't talk about that.

Lol!!

Cheers markco2