I think one issue of some importance is that the price runs up too high prior to the CR and sometimes triggers a reversal on the chart once everyone realises that's it for the time being .Similarly the CR takes from the market many potential buyers who would otherwise have kept the SP ticking over and leaves it vulnerable to a greater pool of sellers who likewise now realise that higher prices are unlikely in the shorter term.
It therefore takes a little time for the Sp to stabilise after a CR to see whether the story is sustainable enough to warrant further rises .Personally I believe that you're better off out prior to a CR but for longer term investors the shorter term turbulence can provide a good opportunity if it's the right stock
- Forums
- ASX - General
- investing for the long term. is there a future
I think one issue of some importance is that the price runs up...
Featured News
Featured News
The Watchlist
VMM
VIRIDIS MINING AND MINERALS LIMITED
Rafael Moreno, CEO
Rafael Moreno
CEO
SPONSORED BY The Market Online