Elray Resources Inc (ELRA)

[anon13333]

I suggested they would execute another split right after the previous unannounced 1 for 10. It is funny that now the continuing dilution has brought the price below .01 is obvious they will execute another reverse split. I now surmise before the next reverse split, ELRA will raise the outstanding shares between 50 Million and 100 Million and then execute another 1 for 10 reverse split. I feel bad for the poster that recently bought. With this type of dilution, there is no way to average down. The only strategy to employ here is to just say no and not purchase any shares. Take the tax loss and move on. At least when you sell and move on, you won't have to experience the psychological losses on a daily basis because that can be very depressing. The poster whose break even is $70 will be even deeper after the next reverse split. Another 1 for 10 will put his break even at $700.

Since ELRA has $10 Million and not enough revenue to cover these expenses, the only solution is dilution, dilution and more dilution. If anyone has an alternative, please post.