atention warrant guru,s hdrxoa, page-5

HDRXOA was trading at $1.20 on 03/06/04 and is now $0.91 or -24% over the last 2 weeks despite the fact that HDR is at record highs ... !!!

Gees...a trap for the unwary.

I would guess that has happened because of such thin trading that someone has paid way too high a price and the MM has just left it there to see how many others are foolish enough to follow them in.
If I was caught like this I would be ringing City and asking them to explain.

I have seen a number of times barrier/wave warrants being bought at what can only be described as 'unset' pricing ie the mm has just thrown a price on the board whilst establishing fair price once fpo position on opening or close settle.

The lesson here is that you should only trade waves/barriers with high liquidity or face the risk of being in a play that you cant get out of at fair price.

Volume is almost non existent on hdrxoa so wouldn't go anywhere near it.

Those interested should howver ring and ask why the warrant has decreased when the fpo has risen.

be interesting to read their response.

cheers

debono