RISK TO REWARD RATIO......
High risk equals high reward on the upside and a high potential loss on the downside, which is where we now sit with EGPI Firecreek.
It's not that the stock is actually at zero. The bid is trading in the quadruple zero's and the computers can't space out that many digits. The market makers know where it is at but we (the average investor's) do not. That is why several times this morning it showed trades going off at zero. Quite frankly, the computer can't show a number that is greater than 4 digits.
So what do we do? Well... we know that regardless of the shape of the stock, this company just spent about $80,000 between their last two financial filings. I doubt they expected, or thought that they were going out of business.
That being said, no one wants to buy a stock even at .0001 if it shows that the stock is essentially bidless. However, for the risk tolerant, last time I looked there was about 240 million shares for sale at .0001. Because the stock cannot trade with an additional digit, the stock has to automatically go to .0002 on the offer once the .0001 offer's go out. That is a 100% increase if someone were to accumulate at .0001 and offer .0002.
For the stock to go back to .001 which is where it was at a couple of months ago, that is a 900% increase. Where else do you have an opportunity to take lemons and turn them into lemonade in this market???
Anybody with loose change in their pocket think they can do that with Facebook? IMO
