This was posted today about RAYS by an advisor on their site:
You may be jumping around Google and Twitter wondering if RAYS is a good penny stock to buy?
Ever since it started traded with any sort of trade-worthy volume on Oct 10 2011, it's been a strong stock, without any big down days. The volume on that first day of trading was sudden and impressive. When I first saw a live one minute chart I thought it was an IPO stock that I wasn't aware of that was coming online. Haha!
What we know about RAYS is that is no doubt a promoted stock...which is a polite way of referring to it as a pump and dump stock. However..that does NOT mean you shouldn't trade it. See, the trick is to know if the promoters behind the stock have a track record of success.
RAYS, or Raystream inc., is being promoted by the same group that promoted LEXG. LEXG had huge run back in the spring that alot of traders made big bucks on. Just pull up a yearly chart on LEXG to see what I mean.
There are a ton of penny stock promotions every day. The trick is to trade the ones that are backed by good promoters. RAYS fits that category.
That being said...RAYS is a TRADE...NOT a long term hold. It needs to be watched every day the market is open. Although it will likely have a big run, the fall will also be spectacular. Treat it as a vehicle to make money and you stand the chance of making out like a bandit on this stock.
Treat it like a blue chip dow jones stock and you will be sorry. Don't read too much into the hype that touts the streaming technology that Raystream supposedly has as it's core business. Sounds nice and everything, but it really doesn't matter. What matters is price action in the stock. That's it.
Will you be one of the traders that are smiling ear to ear because you traded RAYS correctly? Or one of the downbeat, depressed traders who knew they should have sold but failed to do? Do me a favor and be one of the former.
Quick tip on researching prior moves in stocks: Go to stockcharts.com and pull up a weekly chart of the stock you are researching. This will show you if there has been any high volume breakouts in the last 18 months or so.
AI
