Q & A session
You should all get excited.
I am working on a new investment ideas that will wet your pants!
Within a week, when I am done with homework, I will present them to you. Most of you will probably say this after reading my notes: " You, -- you, good you, No, ---no, you're good!".
Get your ammos ready.
Today I will answer readers questions. It should help.
Q#1: What do you think of RCHN, Rouchon Industries Inc.? Recently announced a 400% Increase in Year-to-Date 1st Quarter Earnings.Worth getting into?
A#1: No. Did a quick check. RCHN is, an investment holding company, operates as a precision elastomeric and polymeric fabrication company in Singapore, Indonesia, and the People’s Republic of China. They are in a business that is very competitive and RCHN is a small fish within the low margin industry. The stock can jump here and there but there is no fire behind the story. Better wait for other opportunities. By the way, RCHN just dropped -24% today on 10x times normal volume - no news for this action. AVOID for now.
Q#2: EXPEZ-Why didn't my trade execute?I'm sure this is stock trading beginners 101, but I put in a limit order on EXPEZ today for 238 shares at $4.00. The stock went down to $3.98, with a volume of 4,472 shares traded.Why didn't my trade execute; i.e. the stock went below my limit price?
A#2: First of all, you are smart to place a limit order on this. Sometimes due to bid/ask spread your trade might not go through eventhough there were 2 penny difference. Out of 4,472 shares traded today, 2,000 shares were traded at $4.11 on 3:33pm and 2,472 shares traded at between $4.16 - $3.98 on 10:22 am. It is possible that only few shares were actually traded at $3.98 and you were behind the que. Most of it were traded at $4.16 I believe. By the way, I have a limit order to buy at $4.01 and mine did not excute either. If you really want this, place an order a penny or two above me. In the end, few pennies will not make a difference. Hold on to your shares once you get'em.
Hint: When placing an order, try not to use round numbers. Most people like to do this - we try to be different. For example, do not place $4.00/sh order, instead place $4.01/sh. There's no logic in this except that I try not to go with the mass. Yesterday, I bought OIH at $130.31/sh. I love odd numbers like that : )
I am working on a new investment ideas that will wet your pants!
Within a week, when I am done with homework, I will present them to you. Most of you will probably say this after reading my notes: " You, -- you, good you, No, ---no, you're good!".
Get your ammos ready.
Today I will answer readers questions. It should help.
Q#1: What do you think of RCHN, Rouchon Industries Inc.? Recently announced a 400% Increase in Year-to-Date 1st Quarter Earnings.Worth getting into?
A#1: No. Did a quick check. RCHN is, an investment holding company, operates as a precision elastomeric and polymeric fabrication company in Singapore, Indonesia, and the People’s Republic of China. They are in a business that is very competitive and RCHN is a small fish within the low margin industry. The stock can jump here and there but there is no fire behind the story. Better wait for other opportunities. By the way, RCHN just dropped -24% today on 10x times normal volume - no news for this action. AVOID for now.
Q#2: EXPEZ-Why didn't my trade execute?I'm sure this is stock trading beginners 101, but I put in a limit order on EXPEZ today for 238 shares at $4.00. The stock went down to $3.98, with a volume of 4,472 shares traded.Why didn't my trade execute; i.e. the stock went below my limit price?
A#2: First of all, you are smart to place a limit order on this. Sometimes due to bid/ask spread your trade might not go through eventhough there were 2 penny difference. Out of 4,472 shares traded today, 2,000 shares were traded at $4.11 on 3:33pm and 2,472 shares traded at between $4.16 - $3.98 on 10:22 am. It is possible that only few shares were actually traded at $3.98 and you were behind the que. Most of it were traded at $4.16 I believe. By the way, I have a limit order to buy at $4.01 and mine did not excute either. If you really want this, place an order a penny or two above me. In the end, few pennies will not make a difference. Hold on to your shares once you get'em.
Hint: When placing an order, try not to use round numbers. Most people like to do this - we try to be different. For example, do not place $4.00/sh order, instead place $4.01/sh. There's no logic in this except that I try not to go with the mass. Yesterday, I bought OIH at $130.31/sh. I love odd numbers like that : )
posted by Jaewoo | 10:31 PM
1 Comments:
Thanks for answering question. Very helpful. I put in a buy order on EXPEZ at 4.06 today.
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