Current Trade

Thursday, November 4, 2010

Financings

One of the most motovating factors in price share movement is financing.

Financing in a down  market, moves the share price to the financing..

Financing is a given when you're taking positions in a small cap, as it is likely the only way they can move forward.

It usually takes a period of time to see the effects, that is unless the market is really hot, then financing can pop the price radically.

Financing in a ranging market usually is ho hum.

Financing in a rising market is usually a good sign... and often if the financing is at a premium to a stock price, then the delayed reaction is a creeping move to the higher price.

One of the things on my mind as a gorilla trader is the financing, such that it is the first thing I research on solid speculations. Post financing is the time to chart speculations.

Financing tells us two things... 1) they have new money (like in the bank) and;

2) there is now an overhead of paper likely in the form of warrants, which are good in that it generates new cash, and bad, that it can test our resolve.

GLTA Lostoutwest

Kenuck SmallCap Trader

Stockhouse

Track My Trade - this is a link to an off site I follow, and have no affiliation with.

National Post

Grandich

StockCharts Public Chart List

CBCnews

Please read our Complete Disclosure

If you see the hand... click on screen shots to enlarge them.

No comments:

Post a Comment