Black Dragon Resource Companies Inc (BDGR)

[LouisDesyjr]

Trading at seven decimal places

I use to think that it was NOT possible for a stock to trade in more than four decimal places but I found out there are exceptions. That is the case if you do online trading since the automated systems will only go to four decimal places, hence the dead stocks that peg out down at $0.0001.

I am told that if you place a call to your broker, and do the trade through a trading desk, that you can place an order to buy or sell at less than $0.0001 under certain exemptions. The fact that the stock will not trade unless the order is below $0.0001 (since no one is buying at $0.0001) should be one of those exceptions.

https://www.sec.gov/divisions/marketreg/subpenny612faq.htm

Without an exception to the regs, as listed in the regs, the stock order can not be priced in increments of less than $0.0001 or the stock order priced below $0.0001. If it is and there is no exception, they are supposed to reject the order.

Louis J. Desy Jr.