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How much is left to sell by Kalani, do you think?
FUD slinging at its finest...
You had the ability to sign up for this service on the internet, but don't know how to search for PRs from SLJB? Try Yahoo, Google, AskJeeves, or the company website.
Nestles's, who invented the products, has been around for 140 years! So what? These guys are moving in slow motion. I have followed them closely since the initial placement at a Walgreens in Vegas. BELIEVE ME, THIS IS A PART-TIME GIG, at best for theses guys.
I have never seen a company move so slow in the face of such oppurtunity. Nutrisystems, Hansens, and Red Bull are paving the way and this bunch can't get their act together. What a waste. Sell to somebody who will devote more than a part-time effort to this!
Tried it, no luck. Looks like it is no more....
When I type in SWTS on the RB site, it does not bring up anything.
Wow. 3 million shares just got dumped below .074! Bailing?
Is the Raging Bull site dead? Is company still around? Stock seems dead in the water.
Also, I wonder if the new season, assuming there is one coming, of Survivor may have some tie-in?
Considering the Mark Burnett connection (he's the producer, correct?), the theme song "Sweet Dreams", a tie-in would be logical. Perhaps optimistic speculation...
The "other" board? I don't follow? This whole week has been looking a lot like distribution...very orderly selling off of a large position(s).
Yeah, any run of this size usually gets cut back. Now, will it have any support to speak of and at what level? Perhaps the drop to 1.75 and subsequent recovery to 1.85 will provide a clue....good luck, the pink sheets are a different animal with little transparency.
It sure seems like there is a lot of folks taking profits here. Is the rollout not proceeding as planned or did it pop up too much too fast, and is settling back to reality?
The number of shares looks to be about 4.86 million. those funds that mirror the R200o can neither sell nor buy before the official changes.
If only it were that simple... You must do it as of May 31st, at close. You must know how many co's were added in the year due to IPOs, you must know how many IPOs happened in the last Q that were of sufficient market cap, you have to compute the cutoff, know how many migrated down from the R1000..... and you had to do it between June 1, and today.
Remember, Russell list today after close... Might see some buying pressure near the bell.
What the author doesn't discuss is the time leading up to and including the day of reconstition. I believe he is referring to after stocks are added.
Will, there are many different aspects to being added to the list. Chief among them is the fact that many hedge funds accumulate shares in advance to sell into the rally. That is exactly what we are seeing now. An inventory of shares that must be bought by passive funds on a certain date mandated by the funds very charter is money in the bank. Friday, the companies that will be added becomes public, and the hedge funds will be in competition with savvy investors trying to do the same. It is this attempt at front-running by everyone and his dog that mutes the effect and causes the subsequent downdraft. The play, as I see it, is to buy on the obvious dips cause by hedgies (yesterday, somewhat today) that are building inventory, and then sell into the strength of the 27th. Too late in, or too late out, and you may be underwater.
The preliminary list is published AH on Friday. The index becomes official, meaning the reconstitution that the passive indexes need to subsequently mirror, is AH on the 24th. The difference between the two is miniscule. Hardly ever does a company go BK or get kicked of its exchange (the only two things that get a company booted between reconst. dates). I have a list that is compiled using Russell methodology showing most, if not all of the companies being added or delted from the R1000 and the R2000, as well as many that will shift from the 1000 to the 2000 (significant) and the very few that are being added straight to the R1000. Please feel free to inquire about your favorites. Parameters that may answer your questions: R1000 cutoff: 1.765 billion market cap. R2000 cutoff: 184 mm m. cap Microcap Index cutoff: 58 mm m. cap GTE is #2637 264 mm m. cap. This will all be widely publicized Friday after close....
Ric. How's the Island? This board is very good for fundamental information about the company. There is TA board more focused on trends and trading. Good to see SONS doing better.
Those are VWAPs. Volume weighted average price...
Lap, a limit order is placed with your broker and sits quietly on his server, not on the Level II bid/ask. It isn't an order to sell (the reverse for a short would be a "buy to cover stop") until the parameters to trigger it happen. Then it is put in line with the rest of the market orders. This causes the slippage which is being discussed. THOSE market orders are visible and aften numerous at popular points, like down 8%, or a pps given by popular gurus like Tobin Smith or Jim Cramer, or even the talking heads on CNBC when they do "Lightning Rounds" and post upside targets with stop loss levels. These are the targets of the MMs when there is weakness, the slippage exacerbates the move. That is gravy for them. Upon the cascade starting, they (they being the computer program that generates their buy orders, it happens too fast for anyone to sit there and type) march down the bid as orders get filled. As long as there are open market orders, the bid falls and they scoop up shares, often to sell them back at a profit mere seconds later. You can see the volume tail off as the spike down gets steeper, implying fewer, then no more market orders. The return bounce has the opposite reaction. Many traders watch for this activity and try to jump in on the bottom of the spike, using market orders (again, happens fast, no time to type in limit orders). As they get filled, the pps rises until those buy at market orders are exhausted, and equilibrium is restored. I agree that mental stops are good, when used with an iron discipline. If you can't sit at your trading platform, stop limits are next best, as they won't take you out near the bottom of the stops raid, but rather some on the way down, and the rest on the bounce, if the pps returns to where it was previously. Trailing stops to protect profits are another good tool.
The direct impact is mainly that passive index funds all reconstitute their holdings to be in line with the Russell index they follow, be it the R1000, the R3000, the RTop 250, whichever, at all times. If a company is added because of an IPO and has sufficient market cap, is not a pink sheet stock or OTC, trades for over 1.00 per share, then it will be added in the Q in which the IPO happens. This is the only exception to the annual reconstitution. To do so more often would add much more volatility and transaction costs to the passive funds. If a company gets kicked off its respective exchange at some point, it is dropped from the Russell immediately, and all the funds sell it. SONS had that happen to them last year, pps fell hard. 40%. As far as what the exact pps move will be, that is impossible to predict, this stock is subject to big moves for little or no reason. But I understand from my source that 17.87 million dollars worth or 4.86 million shares at May 31 close, will need to be purchased to supply all the passive funds currently mirroring the Russell indexes in which this will fall on the date of the reconstitution, which is June 24th after close. At the average trading volume lately, that will be significant buying pressure. Some moves I followed were TUNE, up 30% on being added last year, AIRN 20% on being added, this year they will be dropped, and the pps has declined 10% since the 31st of May. If presses, I would say a 20-25% upside is fairly predictable in this case.
What would you like to know? I have some useful data.
Stop limit orders are not visible in any way to anyone. They only exist on the server of your broker. They are triggered when a price is met, unless you are using a trade trigger progam of some sort. Still invisible. Maybe what you mean is that MMs expect them to exist at certain price-points due to things like IBD's down 8%, out rule, or Tobin Change Wave recs, or other popular newbie rag rules. The actual stop loss or stop limit (much more useful, if you are worried about not being robbed in a stops raid) is not visible in any way.
Actually, I am surprised and somewhat dismayed by the lack of questions and interest. Last year, when TUNE was added, they got a nice pop, 25% or so. (They were #3000) Another I researched that is being dropped this year, AIRN, got about the same. SONS, a stock I trade, got kicked off the index mid-year (a rare occurrence) due to being de-listed from the Nasdaq, and their shares fell about 30%. This is a significant event, and front-running it MAY be profitable. Certainly no harm can come of buying in anticipation of the listing. Unless other bad news occurs, of course. If you have any specific questions about other issues, these numbers might help: (or you could email me at my Yahoo.com address) Threshold for R2000,184 million. Threshold for R1000, 1.765 billion. The new Microcap cuts off at 58 million, but that is a congested market cap range, so be careful there. Good trades to you.
Doc, it is in the bag. The Russell 3000 is the top 3000 companies as of May 31 each year, excepting pinks, OTC and sub-1.00 per share stocks. This year, the cutoff was 184 million, GTE's market cap was well north of that. They are in. Now, regarding this Friday, it is after hours on the 10th that Russell will announce their preliminary list. That list can be figured using their methodology, if you have access to the raw data. I have access, privately, to a list which has already been compiled. We are, and will be posted as, #2637 out of 3000. The market cap at close May 31 was 264 million. It is a very straight forward index. There will be a lot, millions of, shares bought by passive index funds on June 27th when the reconstitution takes effect. The Official Russell Indexes will be posted after close, June 24th. Passive funds sell the ones dropped and buy the ones added.
"They" might be, I say might because it is something I believe but will admit to not having evidence besides the fact the stock will be added, accumulating shares in anticipation of the announcement on Friday after close that GTE has been added to the Russell 2000, and all passive index funds will need to buy shares in it after the new index becomes official on June 24, after close. This is not widely known, but will be soon....
I have it at #2637 of 3000.
2637 GTE GLOBETEL COMMUNICATIONS CORP COM NEW Telecommunication Services $3.7pps $264cap $17.87million 4.86million shares Add to R2000
It is based on market cap as of May 31. This was over the threshold of 184 million easily on the day it mattered. The only restrictions are no pinks, no otc, over 1.00 per share. Go to Russell.com. Probably a part of the timing for the move to AMEX.
This will be on the Russell Index list Friday AH. Should make Monday real interesting... I have added more today, cheaply.
Overall market, low volume. Stops raids do generate volume, as they cascade down...
A stops raid on a low volume, down market day is what I see. The time here on the Amex is low, a recent top on the Naz. Lots more going on than meets the eye...
How odd that being added to the Russell is having no effect. There should be more interest, but it won't be widely known until the 10th, when the list is published.
The Index known as Russell 3000 is the universe of stocks with market caps starting with the largest and on down to #3000. The R1000 is the top 1000, the R2000 is the next 2000. There will now also be a Microcap index which will be #s 2001-4000. Here's a link showing all the various ways in which the companies are subdivided to for others.
http://www.russell.com/US/Indexes/US/Definitions.asp
Funds that are passive in nature using the Russell Indexes as their basis rebalance on the day the new index becomes official. That day is the last Friday in June each year. When a stock is added, another is dropped. The number of stocks is always set on the day of reconstitution at the number specified by the index. This year, there is a new one, Microcap, that takes the list out to 4000. The R1000 is the top 1000. Cutoff this year: 1.765 billion. #1000 is SIE It was on the R2000, but it's being at the bottom of the 1000 is actually a negative. The top stock in the 2000 is GLK, already on the 2000, and high up, so no effect expected. The bottom of the 2000(which is #s 1001-3000) is KOOL this year, with a market cap of 184 million. Because it is ranked so low, on the bottom, hardly any shares need be bought. The index is weighted.
Sorry, did not know that. Which would be best? I would think the TA board, since it is a short term event, not fundamental in nature.
It is based on market cap. This issue is #2637, based on its cap on May 31, of 264 million. That is the day they, Russell, sets the list. They publish it on June 10th. This, being new to the list, will need to be bought by passive funds on the day the reconstitition is official, June 27th.
Is anyone thinking about being added to the Russell Index? The list comes out June 10th, we will be on it. R2000, should provide good buying pressure.