Yes this is what I have realised as well, trying to find true...

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Phil T

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27/04/19

13:00

Post #: 38287157
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Originally posted by Dazedandconfused: ↑

Hi Phil T

Running an ASX company can be like owning a money printing machine. Issuing shares cheaply to a small group of individuals [a.k.a sophisticated investors] who then immediately attempt to flip their holdings for a quick profit makes some people quite wealthy. There are some traders who follow that particular action and ride on the coattails of it. It is the most common explanation for sudden price spikes on high volume in microcap companies. Almost never do the stocks maintain there high SP's... usually they crash quickly.

Those sorts of stocks are almost never genuine investment opportunities. Almost always, the whole purpose is pump and dump. The most blatant example of recent times has been the plethora of cryptocurrency offerings [which has even earned the nickname of "shitecoin" offerings].

It is a worthwhile exercise to discover who is who in the zoo... but mainly to alert oneself to where the dangers are.

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Yes this is what I have realised as well, trying to find true long-term investments on the asx is very hard. JB companies are all pretty much pump and dumps, I am in WFE and am hoping Airguide and the asx keep JB honest. I am actually happy that the asx suspend it, that way JB actually has to tick all the boxes for it to be able to trade again.

But I am only two years in, I am making some money but I am only using 1 or 2k until I get my head around it better. Learning is the best word for I guess. Will keep reading the STT forum and after I am happy with my trading plan I will tests it in the STT comp and see how it holds up. But that is about 6 months to year until I am at that stage of my plans.

XAO Value at posting: 6,473.2
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