Why stock gets halted and what does that mean to me as an trader?

Discussion in 'Trading' started by Osvaldo, Oct 25, 2007.

  1. zdreg

    zdreg

    25-Aug-00 open 110.69 130.00 43.00 105.75

    thx for the memory.
     
    #21     Oct 26, 2007
  2. gaj

    gaj

    i've had it happen a few times where it wasn't good, such as the scam company GENI (halted at 5, opened at like a buck a few months later) where i only had a few hundred on a lark (60 minutes before it was halted in after-hours!), short ARCA right as the NYX news came out (covered pre-mkt next morning when it reopened).

    however, there have been a few rinky dinky companies (i was short) that have shot up on pump n dumps , been halted, and usually the company comes out with a "we know of no reason for our stock to be up to the moon" and it craters.

    i don't remember which ones they were, because i tend to remember my bad trades more than my good ones.

    i'm not a fan of stocks being halted, because as a trader, i want liquidity. when the stock is halted, i'm no longer in any control.
     
    #22     Oct 26, 2007
  3. It means that 9/10 times (always seems to work against your position) you're about to get taken.
     
    #23     Oct 26, 2007
  4. lol. So true. This falls under the 50-50-98 rule.
    You have a 50-50 chance of being on the right side and a probability of 98% of being on the wrong side.
     
    #24     Oct 26, 2007
  5. Ari_et

    Ari_et

    Halted means you are scr..d
     
    #25     Oct 26, 2007
  6. This is Interested
     
    #26     Oct 26, 2007
  7. John_IL

    John_IL

    I've never heard of this (halted)
    Can stocks like rimm goog get halted as well?
    From previous posts I see this happens with stocks that have bad news.
    Is there any way to stay away from stocks that will get halted?

    I don't like idea that you don't have the chance to even get out of your postion.
     
    #27     Jan 21, 2008
  8. Yes stocks like rimm and goog can halt, no there is no way to stay away from stocks that might halt, no you cannot exit your position
     
    #28     Jan 21, 2008
  9. John_IL

    John_IL

    Thanks trading monkey
    This is not fair to us as traders.
    Seems all we can do if we find ourselves in this position is to pray.
     
    #29     Jan 21, 2008