a free advice, page-3

you're spot on Diablu - the reason punters consistently lose on spec stocks is because of the information imbalance between the insiders and the rest of the market (not mention their radically different perspectives on a given company)....

additionally, many of these spec stocks are floated not with the intention of their ever actually being productive, but to milk the market's pool of money.... there's always enough sloshing around in buoyant times to support a raft of no-hope-whatever companies which set up shop, get a couple of good front-men (e.g. ex-BHP execs are always good), print a glossy prospectus, grant all directors a few million free options each (before they've even gotten out of bed on their first morning reporting for duty), then periodically organise placements to keep directors in the comfort to which they feel they are naturally entitled.... the Corporations Act (or whatever its called locally) being nothing but a charter for fraud....

so, the only way to make any money from these scumbucket companies - and I agree there are many that imo should not even be allowed to list (but the ASX gets its fees so they list), is to be thankful for small mercies. When you see a small rise in share price - take it. It agonises me when I see posts from people who style themselves 'true believers' in penny ante stocks which are destined NEVER to rise out of the swamp - there's just no intention on the part of executives ever to promote or progress the stated company goals.....

it is in any event only an accident that private punters ever make a quid out of the market - after all, it's not their money which ultimately drives good companies forward anyway.... private punters really are parasitic on the bigger investors whose capital really underpins markets....that's the way it is.....


recognise that you are a bottom feeder and like I say, be thankful for small wins, you could get lucky with a big win once in a blue moon, but it's only ever luck....