Speculation is dead. What is speculation ? to wager on discovery, anything. To price in, a part thereof the prize that is delivered.
If a horse runs a race, and the winning stakes are 100 dollars, and it has a chance of success, even a remote one, then it is priced on the odds a value of say 10 dollars, in a 10 horse race. Or 5 dollars in a 10 horse race if viewed as the long shot.
Yet, who is pricing C1X ? Bugger all to no one is buying from the offer sell side, or willing to take on more exposure, because the market has viewed that there are no other speculators who will step up to put, speculative pricing on stocks. The bet on the other guy willing to follow a rising trend tomorrow is dead. Rather, they are left to decay into the sell lines of lower and lower price point accumulation. Those bidders are speculating on a reversal of sentiment, but also willing to hold that long bet, perhaps on discovery, or perhaps on a sniff of a rising tide that will eradicate the discount that is present.
What a shambles the speculative market is right now. What an opportunity and liability together, to bet on rock bottom valuations, if you could over come the fears of capital raising to lower the bar further, vs when guessing on the timing of a sector reversal.
C1X Price at posting:
8.3¢ Sentiment: Hold Disclosure: Held
