Indymac is purely a gamble, nothing more then a bet at the racetrack. You go into that trade knowing full well that you might lose every dollar and the chance is there. Now it sits consolidating, will it bounce? I dont know. If your in the trade, I wouldnt sell, but anything can happen know that. The chart tells me that its consolidating right now waiting, for what, I dunno... I would bet on CHTR CHARTER then IMB Indymac if you want to bet on penny stocks.
Is this a thread on how to find the ugliest chart? If it is, congrats, because I can't find any uglier.
This thread is about purchasing a lottery ticket at the right time. Either these companies will fold or they will not. If they are not willing to fold, then they will probably go up. I am saying that a 5000 dollar investment in some of these stocks might yield a spectacular return 1 year down the road. Then again, they might not. It all depends on the chart below. My personal analysis some time ago concluded that $135 was probably the the limit of oil's advance, but then again, the price is managing to stick above the middle line. It does look like oil is still a buy right now along with DIG. Actually, DIG might be a great buy right now on this pullback. I would buy into AMR or CAL if oil made a noticable move to the downside meaning that the trend line is broken. I dont think $135 is the high yet, but Im watching and waiting.
Calling it a lottery ticket as opposed to hoping to catch a failling knife might make it sound more appealing to some, but personally I think I will wait until that knife sticks into the ground and holds awhile.
I went dumpster diving today and found a few more stocks. UNCL- This stock has recovered nearly 300% from a few months ago. Its a play on FMD. I think UNCL is in better condition then FMD. UNCL will eventually recover. They are the only lender that appears to be in a condition to lend money when it comes September to students. TA- If oil comes down, this stock should recover nicely. They operate truck-stops.
I agree, they are awful. Its a stock trading strategy called "bottom fishing" or "catching a falling knife". When these strategies do work, they do yield a great deal of profit. Go ahead and come back to this forum in 3-6 months and look at the prices. Some of the companies might go out of business while others may have doubled or tripled. Not for everyone, can lose money....