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Re: Rainer post# 409

Wednesday, 10/13/2010 12:03:57 AM

Wednesday, October 13, 2010 12:03:57 AM

Post# of 558
Rainer_80

Sorry, mate, free account here, so I can't reply privately.

Let's be honest, no one playing Pinks or OTCBBs are investinging in "companies" and their "causes". It's a matter of commoditiy trading and setting the value day by day. If a share of Company A was valued at $10 one day, then who's to say it's worth $1 the next. Was ARNA really worth $6 one day and then worth $1.50 a few days later?

No.

It's perceived value on future speculation. That's why people buy the rumor and sell the news. People gobbled up BP at $27 a few months back not because it had a book value of $27, but because it "was" a $60 stock a few weeks prior. Again, it's perceived value of future speculation. Everyone knew clean-up costs would be over $12B, that's why they sold it off. People buying at $27, knew it was $27 for that very same reason. Same case for DANKY and most Pinks.

Problem in Pinkyland is that the Bears have two extra players on their team: MMs with their naked shorts and CEOs diluting to pay for their salaries, etc. 95% of the time, it's murder for longs here, but the one day that does pay off makes up all the difference.

What's killing DANKY at the moment are retailers buying after 12 down days expecting a pop, not seeing one and, while watching other pinks like ICOA, PYBX, etc., take off, they bid-whack the hell out of DANKY, take their 30% loss, and hope to make it up elsewhere.

Regardless if DANKY is in business or liquidated, it still has speculated value as a shell. Otherwise, MMs wouldn't have shorted if they didn't have the opportunity to cover. Same goes for all the Qs that were running in late September. Everyone else were also asking "why?" I don't trade on value, etc. I trade on technicals only. Simple economics of suppy, demand, etc., at work here just as they are in all commodity markets.

Good luck to all.

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