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Saturday, 11/03/2018 9:34:10 AM

Saturday, November 03, 2018 9:34:10 AM

Post# of 357
Well, what a week. CIFS seems to have found its threshold where investors other than internet savvy, or followers of internet message boards step in and say okay that's enough and stepped in and laid the hammer down buying in huge numbers in the 1.50 range.

I say this as when the reproduced article from 2017 was posted to that pay for print internet site of no consequence on Thursday and the link to it posted by a first time new alias poster to many sites around the net followed by short selling posters re-posting the link so they would have plausible deniability, "I was just re-posting something on the net, I am not responsible for it." Clever.

Obvious to me investors not so in tune with StockTwits or other sites, did not see, or like myself having checked out the company both at the investor conferences in the US last month and through former business associates in Beijing knew it was all BS.

It took me a while to figure it out, a few people IM'ed me on Twitter what's going on, etc. I said I haven't a clue and would look into when I could, but, that I was holding and that was that. Later after piecing it all together, finding out it was the same article that was fabricated last year and that the "news" website involved was a nothing little site for a bi-weely periodical of 200K readership in China. Not much of a readership for a country with billions of people.

I could also find nothing on the Unicorn Finance research organization or the supposed writer that supposedly written it and finally that the website was a pay to post "news" web site, where anyone may pay to post "newsworthy" articles. Finally the original poster made that one and only post, never came back to support the posting, they just kind of threw it out there, to see what would stick.

The other thing that got me was, well, when there is a case that "investigative reporters" find a supposed fraud such as they were trying to put forth, 2 things always happen, always, first the accountants are out there with a PR like yesterday, they trip over themselves to get the PR out, they want to have it out there and must by law to protect themselves of any actions against them. The auditors for CIFS have offices throughout the world including the US. If it were a fraud and this article had been even slightly, true with the smallest hint of a scam they would be first in line at the PR news office to distance themselves.

It just didn't add up to me, something wasn't right, and it proved to be a hoax another thing thrown out there to cause a panic sell, for their own enrichment. If that gets them off so be it, I cannot speak for all here, as many are not in my situation in either their investing/trading career so one must act for themselves and I understand some taking the fake article for what it said, they had neither the time, inclination or wherewithal to dig into the posting and find out if it had any merit. it sure did seem at first like it was a freshly investigated and reported article, even had 2-3 or three so-called investors that had been sleeping on the couches in the offices there for days because their families were starving or whatever, ridiculous. But it worked for them for a minute, till investors stepped in and put the brakes on.

Now I have mentioned from time to time over the past few years that I was buying the blood in PIR in 2009 and gathered up 500K shares @.15-17 when the "falling knife" was being screamed from the rooftops and short sellers were screaming "it's going to zero, ha ha ha, thanks for your money" I had different ideas about the matter, and one thing I never mention is I was already in for 167K shares @.80-1.60. And seeing what was happening spent some sleepless nights and many days playing all the different scenarios out.

After coming to my conclusions for various reasons, mostly common sense, I grabbed my balls sucked it up and jumped in and grabbed another 500K shares 667K total and said it will be what it will be.

That ended well for me, sold my first block 17K in December that year to get all my money back and held the rest which I stared selling later in 2010 and did so for 2 years, netting well in excess of 10 million dollars. CIFS and my situation with PIR are not meant to say your going to make millions etc. just to point out at times one needs to block it all out all the noise sometimes and use common sense. Then make decision to hold or sell and take the loss, but, not in a panic from verifiable independent sources.

I say common sense as that is what many that "say oh I sold at the bottom" or "I just wanted out" say after they see the shares of their company consolidate and slowly start to rise again to fair value. It can be daunting to shut out all the noise and hyperbole I know this, but, you have to when making a rational decision. Look at everything that is out there everything that you can check and then use common sense and then make your decision.

Look at this PR for their statement of accomplishments for the year including the numbers.

https://www.prnewswire.com/news-releases/china-internet-nationwide-financial-services-inc-reports-financial-results-for-the-fourth-quarter-and-full-year-2017-300648927.html

They go through every accomplishment with every new partner and the independent investigation and audit by KPMG Advisory (China) Limited, the auditors that were retained by Shearman & Sterling LLP. Not they who performed independent investigation and audit nor any company that they announced they had business dealings and contracts with and had using their services and technology said boo, not a one, and if it were some grand fraud you can bottom dollar, the companies which some are international billion dollar companies including Credit Suisse and their accountants would call BS. They would not risk their reputations by remaining silent, these PR's were widely released throughout the world and no one disputed them, for good reason.

I go with that in my personal check in the common sense column. The Chinese government who does business with them through some state owned companies did not dispute any of the PRs from the company saying they were working together. The Chinese government on the other hand spoke highly of what was being done in China in regards to Fintech in this national "real news" periodical as did one the largest and most influential Universities in China which is also working with CIFS.

http://www.cnfocus.com/the-future-of-blockchain-technology-in-china%EF%BC%9Acould-it-change-the-payment-system/

Trust "real" news organizations with quotes from "real" people, especially the Chinese government and a major University they are working with before some nameless poster with some backwater website posting they no doubt paid for with crying investors with starving families at home while they are sleeping on couches looking for their lost investments.

That also goes for me in my personal 1 check in the common sense column. Read the entire PR and go through it the entire thing, refer back to the original PR's and read them in entirety, many times below it mentions the company, conference and people that were involved or who attended and check it and use your common sense.

Like this one where they announce a new agreement with Credit Suisse among others and a conference where the new tech/service was unveiled to prospective customers. Another in the check 1 common sense column.

https://www.prnewswire.com/news-releases/china-internet-nationwide-financial-services-inc-announces-new-agreements-300716099.html

The conference in the PR was a real conference and here is real news of it, from a real independent news source.

http://ip.people.com.cn/n1/2018/0917/c179663-30296576.html

Translation link
https://translate.google.com/translate?hl=en&sl=zh-CN&u=http://ip.people.com.cn/n1/2018/0917/c179663-30296576.html&prev=search

I suggest everyone who is an investor look at the link above and the accomplishments and look at who is listed there and check and use common sense. I know many do not have the time or the wherewithal, I will try and look into all of them this weekend and post cooperating reliable articles where all can be proven for those that haven't the time.

Is the stock being played with, yes, it is. For some reason various "crews" for lack of a better word are in a war with one another, why I haven't a clue, I only learned this through Boiler Rooms posts and tweets that his crew and Jason Bonds followers had it out for one another and are dueling entities for some reason. Other shorting groups are just seeing an opportunity, they know there are traders looking for a catalyst the audited financials or the next PR deal and when they don't come in or the stock moves upward to quickly that there will be an opportunity there, it is what it is. If an opportunity presents itself, people will take advantage of it, everyone has to eat.

People rag on ClayTrader, I don't he is just a person that sees that there is an opportunity due to the chart and other technical indicators. It doesn't mean a stock will tank, he just gives straightforward opinions on the technical aspects of a stock and he does many every day, that's what he does he also trades stocks long. But, long term as the stock goes forward and stables out and we don't have these large swings, then it will become less of a factor.

10-20% gains a week is healthy and good for the stock it takes out all the swing traders and people just looking for a trade. Not that what they do is bad, like I said everyone has to eat. But, if you look at it as an investment forget all that, its immaterial. It was grossly overvalued last year, that's what started all this mess with the fake articles etc and it continued with regularity it made people fearful, made sentiment low. But we saw people finally step in @1.50 range and say whoa and that's what happens. All the it's going to zero talk is just that talk, although not highly owned by institution and funds CIFS is held by many and one could see where they would be adding to their positions here, all of them are in much higher and they are traders/investors that have to answer to someone. Is the amount they may add to lower pps going to be significant, maybe not right away, but, if CIFS keeps going the way it has the past 6-9 months it will increasingly become a factor. May 15th this year reported .49 a share in earnings having just been put through the ringer by way of an independent investigation and audit to prove it was not a scam, so 1.50 a share let alone 2.50 is ridiculous, but, after its been monkeyed with and run down by fear it takes time to consolidate and start trading normal, I think we can start to see this.

One thing that will also have some impact although in the beginning not a big one, is contracting your shares. What I mean by this is setting you shares to sell at a price of say $6 this will make the shares unavailable to short as they already have a contract initiated to sell. Other than requesting your shares certificate form, which i advise no one to do, this is most often done by major houses and larger investors (wealthy) as a means of keeping their investment from having a larger pool from which to be shorted, the stock can still be shorted it just lessen the amount available to be shorted. They can do this as they are in an entirely different world, they can with a phone call have those shares up for sale and delivered to the market via messenger on their word alone where as you or I could not, making it much to dangerous to want to do.

The putting of your shares under contract for an individual investor, really doesn't mean a hill of beans, but, with a 5.7 million float stock when investors in mass do it it can lessen the effect of shorting groups as there are less in the pool to be borrowed for shorting. For a long time this is what has hurt CFIS as even though they reported .49 a share May 15th with their books and entire business just having been gone over by Shearman and KPMG there were not enough individual shareholders with confidence to make a difference as it is hard to verify independently what gets posted or said about a company through nameless posters with an agenda. Its a foreign country with a totally foreign language like the conference I found above, most investors wouldn't have a clue to find out it even occurred as its only news in China, so nameless posters can call it a BS PR announcement saying it never happened blah blah as most cannot verify that it did happen and nit just some BS PR.

Look at it as an investment, when they try and slam it down that's when you up your holding catch the short shares, you will do nothing by trying to hold the stock up by slapping the ask at its highs for the day or first thing in the morning, its an exercise in futility. The stock will consolidate and start to move as it should normally, and if one looks for a normal rational gain in the stock over time, they will see it start to settle in its volatility.

And put your shares under contract GTC at a high price 6 or so, will it stop all shorting, no, but it will slowly effect it 100% it's hard for a large group of say 100's and those that aren't in the group that see big short posted that join in to have an effect. As there will not be as many shares their for them to short. And when you do buy and are long, immediately put your shares under contract.

Like I said its not a fix all, but, it will make a difference and over time the more that do so will make more of a difference. Right now CIFS is being pushed and pulled by various entities and people, you have the short groups, the momo groups the traders that jump on with either group and many that momo it then after selling sell even more by shorting it back the other way. That's why people many times sit and say there is to much selling, or why all the selling pressure, oh its a pump and dump, more often than not, its a pump and short. Don't get caught in it when they short it down and people step in and stop it that's when you add, and if a momo is going on you can sell some of your shares and re-buy them or even more shares with the $$ difference this is building your position.

I have done this many times in stocks I plan on going long in that is extremely volatile at the time for one reason or another so I can have a larger holding built by the volatility. Some stocks I have been able to own 100-150K shares free by the time it settles down the movements are so big.

All stocks go down even the blue chips, doesn't mean they are going to zero. During this recent market meltdown, I was looking at AA as it had been going down due to the market and the BS China trade thing, some ingredient used in production that China holds the majority of may effect the price blah blah. Well I knew earnings were coming and knew they would be from prior to all the trade nonsense so I figured they would be good so I watched it, wanted in @31 or thereabouts if I could get the dream price but just before earnings I got in at the 36 range about 5 days before earnings they were good I exited just over 40 knowing there would be profit takers etc and bears to still push the same Chine Trade fears etc. and sure as shit it dropped to 33.20 or so a week later and back in I was 33.20-28 and for a larger position to go long as its insanely oversold at near 1/2 its yearly high. It happens, people weren't screaming is it ever gonna stop, oh I have to sell before I lose all my money, no most like me were re-upping and for more. You can check my Ihub posts to verify I posted as I did it.

I haven't done that here, and also I must admit on Thursday the day that the fake article was posted with the crying investors and their starving children at home while they slept on the couches of an empty office, buy any. I didn't know what to do, it sounded strange and fake knowing what I knew already but just held and didn't get any of the initial panic sell that the fake article caused, oh well.

Okay, well I will go through every single PR and will find independent corroboration of each one this weekend, just so people who are invested here can look at it, then decide for themselves rather than some BS fake article posted by people with nefarious reasons.

I do this as a fellow investor helping other investors, when it's crazy running or shorting just get out of the way, let it do what it will do then add lows if you want or just sit tight, its an investment and with the numbers they have and the work they are doing to grow the price will fix itself sentiment is changing. It will settle down, and gain back slowly 10-20% a week as it should. You don't want it to run back to this or that right away, that keeps it volatile.

These are the companies websites and their newest ones that came online through recent acquisitions and development of tech and subsidiaries they created for the expansion of use in these new technologies. Like I said I will go through every PR and fins independent verifiable sources in Korea for the that deal in Gina etc, don't listen to BS take the time and do your own looking.

The obvious

http://www.cifsp.com/

The Company acquired Beijing AnyTrust Science & Technology Co., Ltd ("AnyTrust")

http://www.anytrust.cn/

The the beta version of AnyInfo, a vertical search engine and big data platform.

http://www.anyinfo.cn/