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be careful, it could be the offchance than an MM is just playing mind games...
Anyone have any direct information as to why this stock is moving up or is it just speculation? Perhaps someone should call James...
well, the stock is moving like a predicted it would.. whether this is due to MM action of covering themselves and walking down (they can't cover all at once, otherwise stock would shoot up like crazy), or whether it is from the PR from this past week and profit taking or a combination of both, I don't know...
well, couldn't shareholders with margin accounts call for certs forcing those people who naked shorted to cover?
there probably will be a mass exodus up to a certain point... however, if we can convince people to not sell under X dollars, and only sell enough to cover their principle, then we can keep the PPS up to a certain level. And when it hits the NASDAQ, more investors will come in and they can short some more there.
Shorting all at once not only hurts other investors of this stock, but it also hurts those that try to sell on opening day.. by only shorting small amounts at certain times, we can maximize the amount of stock profit for this company.
The disadvantage of this method of course is you might not be able to sell your stock for a while until more investors come into this company...
I'll admit it, I sold recently to get on in the action on fhal... (only 1.3 mil shares though). I'll be back however, if and when I make my money back.. I didn't want to sell my shares, it's just that I had to get money from somewhere...
Anyway, I don't see this stock going anywhere anytime soon (I'd say in the next month).. the only thing that can drive this price right now is the R/S in the short term.. and I can't really tell whether or not it is going to go up or down afterwards...
hopefully I can get the price at which I sold or better..., if not.. oh well, I'm screwed...
yes, this does look a little funny admittedly. Although it is probably that these two brothers are the ones mentioned in american ideal (and I say probably as it could be just a name coincidence), CVSU has not folded since and the company seems to be aquiring assets since that time back in February. This tells me that their future track pattern will be to merge with even more companies and ventures making the company bigger and bigger. If it is a scam, then it appears that the scam won't unfold anytime soon (at earliest I would say would be the audit of the 10k), but likely much later when they can't grow anymore and the house of cards falls over.
And anyway it is just subventure of the company, they look like they have other ventures as well.
I wouldn't be worried about it at this point.. The worst case scenario is that the new CVSU will undergo another merger with another company and have to take a stock dip in order to merge with that company (and it will require majority shareholder approval). But I don't see that happening a few days or even anytime soon after this merger.
It just reaffirms my suspician that this company will grow larger and larger at least in the short run... and even if there is a pps drop with the mergers, Rufus has said we will get shares of the new companies - so it is not necessarily a lose situation.
Thank you for making me search for more dd at their site:
http://www.waatle.com/783548.html
If everyone tries to cash out after the merger, then the PPS will plummet. What we need to do is convince investors to only take out a little at a time to keep the PPS up. In the long and short run, they will benefit by this strategy. Maybe only take enough at first to cover your initial investment so that you can ride free... then after it hits the NASDAQ, take a little more off. Or even invest more if you see things going way up. And then keep the rest as a long term investment until you see a high. That way you can maximize your profits even if you don't get your money all at once.
If I was shorting the stock, and I had listened to the mp3 and knew that the owner was threatening to call in certs during the merger... what would I be doing?
I would be bashing this stock as much as possible in all avenues that I could find (bulletin boards or whatever).. and on monday (and maybe tuesday at the latest), I'd be walking this stock as much as I could down so that I could cover....(maybe I wouldn't do it immediately to not make it so obvious) Maybe I might play the mind game of walking down, then letting it rise again..., then walking it down again to destroy pps confidence...
Watch for volatility on monday and tuesday if this is the case..
----
This is not to imply that all bashers are of course shorters... There are legitimate risks with this stock (as with any stock), and who knows... something out of the blue might come out of the air that is unexpected. Then they'll be out in full force of course saying "I told you this was too good to be true"...
and who knows maybe it is. But from what I've seen and read and even heard I'd give it a 60% chance this it is legit (yeah, I know the SEC filing - but then again - look at Enron - they followed the rules and they still scammed). I'm however not as optimistic as most poeple are about the PPS (100/share in 3 months? possible, but there are a lot of assumptions about the economy, the election, and so forth to get to this level. There are just too many unknowns to claim this - or even 30/share.). Yes I know the positive arguments that they gave, but there are still too many IF's and assumptions...
Yes, and if you are one of the shorters and have to sell, then only sell enough of your stock to cover your principle so you can ride free.... and do not sell under X dollars (and make sure that X is nowhere close to where fhal is now - you are doing yourself a favor as well as a favor to other investors of fhal if you keep this stock up - if you don't then enough shorters will be willing to bring this down where you can't even make a profit). Eventually demand will outstrip supply and if he can keep PPS we will attract more investors in, and possibly hit the NASDAQ (and then you can short some more there if you want or better yet, let it ride if the stock goes up).
That should keep the PPS up and you will benefit in the long run as you gain more shares from the spinoff companies.
all my opinion of course..
Did you read the PR and the 8k... he's not giving anything away. The most likely option that will occur is that they will set the price at $15 (and I saw most likely because there is a small chance that the deal might be blown at the last minute, or a CEO might die or something like that causing a delay)...
then the market will determine the price of the stock..
If shareholders are smart, then they will not sell their stocks for less than X dollars to keep the price of the stock high, even if it means waiting a while to cash out.
Yes I know that.. I was referring to Michael, what's his name on the 8-k...
If Rufus was able to do that, then he is either a very good liar, or has some good information that he imparted to them in a very well presented manner. And I suspect that he only really needed to convince one person - the majority shareholder of CVSU even though he may have invited many CVSU shareholders to discuss the issue with him (speculation as to what really happened in that meeting)..
I think the best way to keep this stock at high value after the merger is complete and the price is set is to refuse to sell your stock for under X dollars (and make sure X dollars is nowhere near what the stock is now). The stock can only go as low as people are willing to panic out of fear or as low as the MM's ask for it. Just ignore the MM ask'ing prices (they may try to walk this stock down again once it goes to $15) and refuse to sell below X amount and eventually demand will dry up the supply.
And if people think that this stock is 'worth' something, more investors may come in.
The only disadvantage of this is that you may not be able to sell at the time that you want to sell it at. You may have to wait until it goes public at the NASDAQ, when this stock gains more exposure...
With enough shorters like you thinking that this stock will never be able to keep $15 dollars.. much less reach $3... it'll be a bidding war all the way down to el-cheapo land (probably around the price of fhal stock now)...
Might as well sell at the next bump up, because you may not see it again with all other shorters thinking like you do...
option a in 8-k applies to shareholders of CVSU, not shareholders of FHAL if I read things correctly...
with the float gone, it's not suprising that thist stock is not moving.. everyone that has bought at this risk level has bought pretty much bought it..
The price of the stock will have to change or another PR to come out or the 10k for it to move again (IMO, of course)...
I'm guessing that people are waiting for the 10k next week (maybe)...
Also the fact that there is no guarantee of $15 take probably has also dried up sellers.
And don't forget the MM's. People are afraid to invest with this much volatility.
Just wait and hope for it to get to the NASDAQ in 2-3 months, and hopefully you should see some serious investing...
yes, but if there are no buyers (demand), then the price won't go up either... if the supply (sellers) is much greater than the demand (buyers), then it will go down (I suspect this to be the case). This is even true if most of the float is bought up. The low float just means that it will limit how low it can go... to some extent.
mm's could just be covering their shorts by walking down the price... (well, that is at least an optimistic view of it) because they might be scared of all the cert talk.
Even though people post wild numbers about how much this stock will be "worth".. the true price of the stock will be based on what buyers will be willing to pay for it, and what sellers are willing to sell this for...
I tend to be more on the conservative side and think that this stock will plummet some after its initial opening because of massive profit taking... but if the contracts prove true, then it should go back up...
Be careful.. just because a company opens at $15 doesn't necessarily mean it will go up (or go up immediately in this case)... if it is true that the company owns most of the float then it is likely (and I do stress likely) that the stock will not plummet down to rediculously low levels. The only scenario I think this will happen is if there is no interest in buying this stock and MM's walk it down to some arbitrarly price level. However, you can expect that a lot of people will be trying to unload their shares once it hits around the $15 mark as many people here bought (and probably will be buying) up shares just to unload it when it does hit the dollar range to get the quick profit.
However, if Rufus was able to convince CVSU investors to take a hit with their shares and it is going on the NASDAQ.. you can bet that eventually this stock will stabilize to some level, especially if the military contracts prove to pan out, and may go up in the long run or even in the short run depending on who than can convince to invest in their stock.
But again, I suspect that many people will unload (and they will even unload a lot before the merger if the stock goes up between now and then).
Again, this is only just speculation... I could be all wrong about this... worst case scenario if you are scared is to take the short term profit between now and the merger, assuming there is one (imo).
I read parts of the 8k just now....
http://www.sec.gov/Archives/edgar/data/757563/000129707706000046/fhaul8-kmergersigned.htm
It looks like holders of CVSU will get $15, or $15 minus the difference of their stock, or just the average market value of the stock (which is according to Rufus, $34)... actually the SEC filing only comments if the holding company is less than $15, not greater than...
I don't understand enough of the jargon however to conclude that shareholders of FHAL will also get $15..
And yes, it does looke like that if you do add the assets of FHAL and CVSU together and divide the suppossed # of shares (which is listed in the 8k), it does come out to $15. But that doesn't necessarily mean that the price the stock will be at $15 (even if they do set it at opening of the new company)... That would be determined by buyers and sellers, right?
curious too.. even though that report is dated last year and people have cited a Venuzuelan bond as the source of capital, I have not seen a tie to that bond and CVSU...
I have not however, done enough reading/research on this company, to make a comment on its finances...
yeah. who cares where this stock goes assuming you beleive that it will be worth 7 or 15 bucks in the near future...
If you don't beleive that, then you may have a reason to be worried about MM action...
I can't seem to buy any more either... I guess they must have a large queue or something...
If this stock is worth $7.21 or $15.. then $1.47 is a bargain imo.... that is of course a big IF....
I'd be loading up if I was sure...
well if this is true, then I'll gladly take 7.21... seems a little less fishy than 'too good to be true' $15....
I'm curious who is going to buy our shares at $15? the company?
Or are our shares just going to be priced at $15 and we hope that it gets sold at that value?
when do we get to cash in?
I guess the only reason he would pay $15 is to control the potential cost of the stock (and MM could walk it up after seeing the statement)... although you would have thought he would have chosen a smaller amount... but maybe he is using some sort of weird formula.
Or maybe if he owns the stock himself, go figure...
Fhal is falling.. ;)
Just had to say that.. heheheh...
Seriously, that guy is going to pay $15 for a $1 stock?
What's his motivation for paying such a large amount for a cheap stock?
Yep... at least the MM's seem to be gone now...
Although with no interest in this stock, I don't see it moving for a long time until the next big PR (whenever that is)...
And then who knows.. the MM's might come back.. ;)
There sure is a lot of volume on TZMT recently.. it was fallen in value a lot in the past week... wonder what is going on here - more shorting? or is there something else going on here?
as an aside.. despite gold going up, my gold stocks are still slightly down today (not sure what is going on here)....
Perhaps, this stock going nowhere is not a bad sign afterall... (maybe).
I wonder.. gold stocks did not rally as much as gold did yesterday... and sometimes when gold went down, gold stocks were relatively stable. Perhaps it was profit taking?
There is a correlation between gold stocks and gold, and energy stocks and oil prices... but the correlation isn't always 1 to 1.
This is especially true of low priced stocks in which speculators can drive the price of a stock wildly up and down, and of course whatever sector is considered the "bull" market at the time (in this case it is commodities - gold and minerals).
I'm beginning to wonder if it isn't safer to just buy gold pools instead of owning gold stocks in times of volitility. True, the returns aren't as potentially high as gold stocks, but then again, it might be safer (maybe).
Considering that many gold stocks seem to be slightly down (at least all the gold stocks I'm watching... and I'm watching about 10 of them) while gold itself is slightly up (for whatever reason), I think this stock is actually doing okay.
which site was that? Would no be suprised... naked short selling is one of the most under reported news items of 2006. Some are trying to make it totally illegal, although proponents say that stocks would be driving too high with excessive hype without it.
What they should do, of course is try and curb both if possible.
Yep, I used to own EZM... he said to not buy, as it is a speculative stock...
Thing is after, the CEO came on, I'm figuring that this might not only be a speculative play. It seems to be mostly a copper mining company, but soon supposedly it will have zinc and in the future silver production...
While copper might be in the doldrums, and silver might be volatile, zinc's supply is incredibly low. There is some potential for long term play here as long as precious minerals keep going up. But this thing has crashed down to the 2 dollar range, up from its highs from 3 dollars (about)... so not sure what is going on here...
looks more like profit taking to me... people sell around the upper end of the 8 and 9 (in this case .19 or so)...
James and Ken should respond to this. It sort of makes Imperia look like more of a "front company" to capture investor funds, while real ownership and power still lies within the CEO's via subsidiaries and certain type of stock.