This was a good solid result. The previously flagged $146 k,...

This was a good solid result. The previously flagged $146 k, when removed still leaves $63k, which in itself is still significantly higher than the previous quarter. Although the company has a long way to go to reach CF positive this was a good solid result. I also liked the tone of management in the report. Some small companies would've had a big bold "highlight" saying their cash receipts had jumped by a couple of hundred percent to ramp the stock. There was none of that just good clear explanations with supporting detail that let people run their own numbers and get a sense of what was going on. A tick for management on this one from me.

I am constantly baffled by chartists. The idea that one can use previous price movements to predict future ones is absurd to say the least. Any person who has observed the share market should be able to see that it is events driven, and events don't repeat exactly. FRE seems to be showing a little bit of strength this morning because it released an improved result - inflection points or head and shoulders patterns or some other trendline mean nothing if a stock reports numbers that are significantly different from what the market expects.

In FREs case, charting is even more absurd than usual because there are so few sales - it is the data equivalent of someone polling ten people in the street and claiming they have meaningful information about the result of the next federal election. Not to mention that richest investors never use charts - Buffett admits that he has no idea about future share price movements - yet a bunch of relatively poor people think that they can throw past data into a spreadsheet and predict the future?

As for the comment that "big money will know to pile in very near to the tipping point of impulsing moves to the high, big money rotation already evident in numerous small caps that have seen a macro bottom and been in accumulation since", I can assure you with absolute certainty that big money will never invest in FRE in the next five years at least. That decision has nothing to do with the performance of FRE, but simply because even a share holder with $5-10 M in the market spread across a dozen stocks, cannot make FRE a typical holding without having to put in substantial shareholding notices. It is simply too illiquid. Even a holding of just $50k is impossible to offload quickly without moving the market. Big money will take one look at the market cap and move on unless they're absolutely convinced the company is a one in a million.

This sounds bad, but it's not. Small investors have a massive advantage in that they can be nimble and that liquidity is rarely a problem. If FRE does brilliantly, the really big winners will be all its shareholders who can get in at the very earliest stage if they successfully identify it as a company with huge potential.

My advice (for what it is worth) is try to find companies that are likely to grow and be more profitable in ten years time than they are today.

As for FRE, this report brings it a little closer to profitability and increases its chances of a bright future. Look at the company, not the tea leaves...