Replies to post #76891 on China Growth Stocks

[Michael Anderson]

While anything can happen, you have to be selective. Look at stocks that have some interest, but not overwhelming and take a look at the short interest and if it really looks like a stock that is going to be attacked. Plus, with the CCME halt, there were so many things prior to that and its not as if the halt was the only thing and came out of nowhere, although unexpected. For now, earnings on some can be played or just general weakness and once earnings are done, you will have to be even more selective, but the space will be volatile regardless. Patience of what to select and when and how to get in is important and sell on strength. There are a lot of examples lately, a couple I can come up with off the top my head are BSPM, ONP, SHZ, and a plethora of others that have gained 15% plus on earnings. Stocks like UTA and TSTC, I would have never thought to touch those for an earnings play, too many variables and risk. At the same time if you are not careful or get attached, you can definitely get burned.

[Traderfan]

UTA, people need to be careful here with playing any bounce for more than a few hours. As long as UTA doesn't come out and fully explains the story and announces a new date, (which I don't count on for the next 1-2 weeks the least) the stock will get sold off and probably be back to the old lows from a few months ago over time. Not necessarily tomorrow but over the next few weeks if they remain silent. People will start to assume the worst and nobody out there wants to be in a stock where you never know whether it's still trading the next day.