Thursday, February 16, 2012


Wow! Is there a lesson to be learned here? Energy Conversion Devices, a penny stock had gone from .20 on December 30 to $1.53 on February 13,  a gain of more than 750%. There was frenzy to get into the stock. One day during the run, it traded 18,000,000 shares and the average number of shares traded per day on it's run higher was about 6,000,000 per day. Obviously traders were pouring in here looking to get in on the momentum train, most everyone trading on speculation. And then boom, it goes down 80% in a minute. Now that my friends is gambling.

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