The stock showed up on my filters this morning, but I had not the time to dig a bit and consider the stock to be on the 3 Stocks on Fire portfolio. But then, after the market open, tommyt brought the stock up on the Stock Picking Board (http://www.3stocksonfire.org/trading/index.php?topic=1280.msg7353#msg7353) and that lead me to do some digging.
CTTY is a very small cap stock, it has just 778,184 shares outstanding, considering 3 sources: www.marketwatch.com, www.quote.com and the SEC file for the 1st quarter 2005. With just 778,184 shares outstanding the market cap, at about $16 a share, is around $12M.
The all history chart of the company is this:
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=1831;image)
The stock shot up more than 300% on the 21th of June because of these news:
Catuity shares soar on software deal (http://www.marketwatch.com/news/story.asp?dist=¶m=archive&siteid=mktw&guid=%7B79BD6453%2D0A2F%2D43C9%2D90CE%2DD81AF8BD4633%7D&garden=&minisite=)
Then there were some developments, the CEO sold his shares and quit the job, the stock had a big pullback and now the short term chart looks like this:
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=1832;image)
I don't have time to dig more, but I guess the deal with CreditChecks means a lot for a company with just $12M of market cap. The CEO was pretty cautious too, just announcing the deal when it was completed, and there was no relevant activity in the shares before the news.
I'm in @$15.56.
Everyday I will analyze CTTY after the market close until I sell the stock. I always tell I'm going to sell before I actually take action. You just have to follow the answers to this post.
Everyday our team scans and filters 11000 stocks to come up with the 3 best stocks to buy on a short term basis. We run a diversified public portfolio which is up 125% since May 2005 (http://www.3stocksonfire.org/closed_trades.php). We have great traders in our community which take advantage of short term opportunities in stocks.
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I'm in.. 125 shares at $15.54
This is the first Non OTCBB stock I've bought ;D.. Love the small float and the Volitility..
And don't forget stops.
I bought yesterday @ 11.00, I will sell half today and hold the rest. This is a small float and a fast mover.Remember to use stops. Also check out CTIB another small float that moved up 250 % on 6-21 when CTTY did. It is also in play today with above average volume.
This has been on the Stocklemon shit-list for a while. But profit is profit.
Dear Reader,
Two weeks ago, Stocklemon warned on Catuity Inc (CTTY) while the stock was trading at $18 a share. After taking a quick run up on a meaningless announcement, the Chairman of the Catuity quickly sold all of his stock and resigned his position. Just yesterday, Catuity filed an 8k notice of deslisting or transfer stating that they are out of compliance with Nasdaq Marketplace Rule 4350.
Yet, the stock is up close to 75% in just 2 days.
Stocklemon believes that Catuity is still just a lemonade stand and the recent run up can be more attributed to day traders and speculators rather than long term or institutional investors.
The Catuity story has done nothing but gotten worse since the first Stocklemon warning. The story has become so stupid that it make TheStreet.com list of the 5 Dumbest Things of the Year.
http://www.thestreet.com/_yahoo/funds/editorsdesk/10230504.html?cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA
Last time the stock was trading at this value, CEO Racine told Marketwatch, ""...there's just no justification for the level we're at now."
http://www.marketwatch.com/news/yhoo/story.asp?source=blq/yhoo&siteid=yhoo&dist=yhoo&guid=%7B79BD6453%2D0A2F%2D43C9%2D90CE%2DD81AF8BD4633%7D
Stocklemon believes it is only time before the company either raises money or gets delisted from Nasdaq and therefore will send the shares back to their pre June value of under $5 per share.
Cautious Investing To All.
Stocklemon.com
This is not an investment. It's called speculation. I'm out over $17.00 Might be back tomorrow.
toot, its back at 15.77
Looks good for a pop tomorrw at least. I got a partial fill of
[email protected]. Don't forget your stops.
Not my kind of stock, will stay away from this :)
Now I see why its not alwyas a good idea to hold overnight.. It closed so promising yesterday too.. Terror attacks are quite a shame on many levels
It has discounted all stocks, though CTTY has come back to $15 in pre-market. I filled the rest of my order @ 14.75.
Don't forget your stop.
Help me out, what area would you suggest someone place a stop on this one? Thanks
I think you were in around 15.70 or so right? Right now that sounds good, maybe move up later. Just be cautious, don't spend extended time in the bathroom or milling about when you own this. It requires 100% attention. ;D
lol.. ok.. just hit $17.20 so you had a super sensational purchase this morning at $14.75 amongst the panic.. Applauded.. I'll probably just take my profits now and watch and try to learn.. Thanks,
Actually I don't see much risk with CTTY. This stock could go to $100 as easily as a penny stock goes from $0.15 to $1. The difference is that this one has a lot more volume ;)
Calmly holding CTTY.
I figured I'd sell since I don't know what I'm doing.. Thanks for the help though.. made 10% of speculation or $200 profit.. not going to complain.. learned a lot and made a little ;D
David,
When you have a moment could you explain how many shares are trading over and over? What does this mean?
It means we have a lot of day traders trading the stock. But I don't think that's the big story on this volume: the stock is up a lot, so, like you and TRUNK, everybody is afraid of holding the stock for long, so they try to buy low and sell high, several times a day.
I believe this endeavour is of no use. As a speculator I'll hold for the big push and sell when it's over (perhaps much higher than current prices). Day trading will make most of people end up losing their position and watch the stock climb without them on board.
I believe the former CEO will be sorry for selling his stock so soon ... the market has it's ways >:D
MHO
TRUNK, if you're confused my advice is this. Decide you won't lose trading this stock. Put an automatic stop order at the price that will make you flat trading CTTY (I don't know what that price is).
Then, go for a walk, forget the stock ... come to look at the end of the day what happened and then think more clearly.
This is not easy to do, but making money trading isn't easy anyway. If you've already sold, well, in that case I don't know, probably just take the experience (it probably has more value than what you might make or not in money terms).
Yeah I already sold at $17.30 .. bought yesterday at $15.54 ..so not much I can do now accept watch and learn.. great advice though, I'm brand new to the markets and your right the experience I think will be much more valuable than the monetary gain
Looks like a lot of buyers, might make a run @ 20.00 today. I will sell the rest if it does. IMO there will be a lot of risk holding it above 20.00.
I taught moderately mentally handicapped children for 9 years. I had one boy who used knock over a big blue mat in the gym. He knew he shouldn't, but he couldn't stand the temptation sometimes. He would walk by the mat and say, no, no, no, no, and shake his head, right before he knocked it down.
Thats what I feel like when I look at this stock. I keep putting it on the screen and off the screen. Every time I look at it I say. No No No No No!!!!!!!!!!!!!!!!!!!!!!!
Newbie here....I traded this stock for a gain today. Now I'm trying to get back in for a second run but my broker(e-trade) is warning me that I don't have settled funds and that my account could be changed to cash-only for 90 days if I sell the stock before funds settle. Until now, I had never traded in and out of the same stock in such a short time frame so I never kept extra cash on my account. Is this true, will my broker really change my account to cash-only?
You don't see much risk? Are you kidding me???? They are losing money, the CEO says they don't hope to be profitable til 2006, the Certifichecks deal didn't have a dollar figure to go with it, and they have pending capital raising and acquisition activities that are going to issue a ton of shares. Not to mention they aren't in compliance with Nasdaq's listing requirements and the stock is up 300+% over the past month. And some have actually posted as if you are one to follow lol
I dont have a position in CTTY and may not have in future. It reminds me of TZOO. Too wild or whatever. Goodluck to all those who holds it.
Here's how I see CTTY:
The company is on a turnaround process in 2005. It was supposed to have it's first big costumer only in 2006, but it got one on the 21th of June 2005, that's why it rose so much that day.
Usually, companies don't have less than 1,000,000 shares outstanding. CTTY has just 778,000 shares outstanding, so the change of value of the company from the change in the share price is not all that much. A $1 change in Microsoft stock accounts for a change of $10,800,000,000 in the value of the company. A change of $1 in CTTY shares accounts for just $778,000.
See the difference? So, if CTTY stock doubles in the next few days, the value of the company will only change by $13.58M. That's why I think it is possible for CTTY to rise a lot more.
CertifiChecks was just 1 of the top 12-18 clients the company is trying to get.
The stock rose more than 300% on that news day, but then it came another news:
Catuity Chairman Dumps Stock, Quits (http://www.thestreet.com/_mktwrm/tech/software/10229409.html?cm_ven=CBSM&cm_cat=FREE&cm_ite=NA)
«The executive, Duncan Mount, "sold 38,358 shares on the [Australian Stock Exchange] on Wednesday, June 22, 2005, at prices ranging from A$15.50-$17.00 during a sharply rising market, following record trading that had occurred on Nasdaq," Catuity said Thursday.»
The stock went down from a high of 22.58 to a low of $9.46 on this news. But you see, the stock now is trading above the price the chairman sold his stocks. He made a wrong decision (in my personal and humble view), of selling because «it rose too much». That's wrong behavior and the market usually punishes wrong behavior.
The terms of the deal with CertifiChecks were not disclosed, so it is impossible to figure what's the value of the deal. I think what is important, though, is that this was probably the first of a series of deals from Catuity.
Listen, I don't know how to evaluate the company. But I know it doesn't need much to take it to $30 or $40 or $50 a share. The chart looks awesome, and the market usually knows better.
So I'll do two things: stop thinking and digging and set up a simple trading plan. And my trading plan is as follows:
1) I don't want to let a profit turn into a loss, in fact, I would like to take at least a small profit out of CTTY (to start reversing a string of small losses), so I'll put a trailing stop for today's session @$16.34, which will give me a 5% profit on this trade.
2) Let the profits grow, don't know until where ...
Quote from: David Randolph on July 08, 2005, 07:13:00 AM
Here's how I see CTTY:
The company is on a turnaround process in 2005. It was supposed to have it's first big costumer only in 2006, but it got one on the 21th of June 2005, that's why it rose so much that day.
Usually, companies don't have less than 1,000,000 shares outstanding. CTTY has just 778,000 shares outstanding, so the change of value of the company from the change in the share price is not all that much. A $1 change in Microsoft stock accounts for a change of $10,800,000,000 in the value of the company. A change of $1 in CTTY shares accounts for just $778,000.
See the difference? So, if CTTY stock doubles in the next few days, the value of the company will only change by $13.58M. That's why I think it is possible for CTTY to rise a lot more.
CertifiChecks was just 1 of the top 12-18 clients the company is trying to get.
The stock rose more than 300% on that news day, but then it came another news:
Catuity Chairman Dumps Stock, Quits (http://www.thestreet.com/_mktwrm/tech/software/10229409.html?cm_ven=CBSM&cm_cat=FREE&cm_ite=NA)
«The executive, Duncan Mount, "sold 38,358 shares on the [Australian Stock Exchange] on Wednesday, June 22, 2005, at prices ranging from A$15.50-$17.00 during a sharply rising market, following record trading that had occurred on Nasdaq," Catuity said Thursday.»
The stock went down from a high of 22.58 to a low of $9.46 on this news. But you see, the stock now is trading above the price the chairman sold his stocks. He made a wrong decision (in my personal and humble view), of selling because «it rose too much». That's wrong behavior and the market usually punishes wrong behavior.
The terms of the deal with CertifiChecks were not disclosed, so it is impossible to figure what's the value of the deal. I think what is important, though, is that this was probably the first of a series of deals from Catuity.
Listen, I don't know how to evaluate the company. But I know it doesn't need much to take it to $30 or $40 or $50 a share. The chart looks awesome, and the market usually knows better.
So I'll do two things: stop thinking and digging and set up a simple trading plan. And my trading plan is as follows:
1) I don't want to let a profit turn into a loss, in fact, I would like to take at least a small profit out of CTTY (to start reversing a string of small losses), so I'll put a trailing stop for today's session @$16.34, which will give me a 5% profit on this trade.
2) Let the profits grow, don't know until where ...
I am brand spanking new to this board. I am nothing more than a novice at best. I read all the posts and hope I can understand the msgs while most are still too out of my field to fully grasp yet, i.e.: charts, triangles, fibo, etc.. I read all I can to learn. I was posted an email from Stocklemon.com the same day that ctty did the incredible jump in price. The msg ended with "Cautious investing to all." The email stated that this stock is bogus and its ceo is being investigated for pumping and selling a product he cannot deliver. They also said he will quickly be gone with the $ before the sec realizes it. And now he is gone. I honestly have no such stock and my portfolio is limited and I am barely holding my head above water. I am only sending this info, not to scare anyone or influence their decisions. I am grateful to this board for giving me ideas on penny stocks and so much explaination as to why or why not one should purchase a stock or not. It is a wonderful learning tool for someone like me. So please no one take this post as anything more than my trying to help you that have helped me. I received another email from them yesterday and they say the news is worse. I do not know if stocklemon has any hidden agendas but please pull up stocklemon.com and read what is being said including a notice of delisting. Good luck to all.
stocklemon may be short the stock(and I am too) but they are pretty much right on the money and so are you. Good luck to you!
Quote1) I don't want to let a profit turn into a loss, in fact, I would like to take at least a small profit out of CTTY (to start reversing a string of small losses), so I'll put a trailing stop for today's session @$16.34, which will give me a 5% profit on this trade.
Good for you, David! No one knows what a stock is going to do, but we certainly can be good managers of our money. That sounds like a very reasonable plan. Applause. :)
Quote from: bomson on July 08, 2005, 09:21:04 AMI am grateful to this board for giving me ideas on penny stocks and so much explaination as to why or why not one should purchase a stock or not. It is a wonderful learning tool for someone like me. So please no one take this post as anything more than my trying to help you that have helped me. I received another email from them yesterday and they say the news is worse. I do not know if stocklemon has any hidden agendas but please pull up stocklemon.com and read what is being said including a notice of delisting. Good luck to all.
I give you applause for your due diligence in looking into this stock, and for encouraging others to do theirs. Both sides of a story should be presented. Good job.
Great posts here !
Just an observation for anyone looking for a stop:
On the 10 minute chart (below) the chart over the past two days is looking like a Head & Shoulders top. The neckline is 17.20 (just before 12:00 yesterday) and 17.22 (just after 12.00 today). If the stock breaks below 17.20, it looks like it could drop some.
The high (Head) was 19.64. The neckline is 17.20. A break below 17.20 suggests that the stock "could" drop to 14.76 on a measured move:
19.64 - 17.20 = 2.44 points
17.20 (neckline) - 2.44 points = 14.76
That's just the measured move. Anything can happen with this stock, as we've seen :)
I don't have a position in it. Just enjoy watching the wild moves ;)
EDIT: Forgot to say notice that volume on the push to 19.64 was much less than the prior move higher, and that volume has fallen off dramatically in the right shoulder (since the 19.64 high this morning).
EDIT #2 - oops...17.20 broke while I was typing. We'll see if that has any impact. CTTY bounced back above 17.20, currently at 17.33.
http://ts-lc.sc8.finance.lycos.com/1120850014453?User=demo&Pswd=demo&DataType=GIF&Symbol=NASDAQ:CTTY&Interval=10&Permission=1000&Ht=400&Wd=600&Display=2&Study=VOL&Param1=&Param2=&Param3=&FontSize=10&LocaleID=0x0409
Thanks for the post. I enjoy reading posts about T/A. I don't know how much CTTY will follow it given that these MOMO pump and dumps tend to have a mind of their own, but I do like to read what others see and maybe it does follow the trend someone sees.
Quote from: CTTY on July 08, 2005, 11:29:57 PM
I don't know how much CTTY will follow it given that these MOMO pump and dumps tend to have a mind of their own
Yes, that's always difficult to figure on stocks that are on a MOMO-driven rally, like this one is. At least there's some sort of pattern over the past couple of days that provides "a logical stop" for those who are long, and who want to protect some of their nice profits from the 15.00 range, where some of the board members entered this stock long.
The $17.20 neckline broke at 3:15PM, but it held up at the close. CTTY finished at 17.00 in after hours trading, however, so we'll see how that plays out on Monday.
Bottom line: I agree with David's point about a trailing stop, and about not giving back all of your gains in a stock. BTW, I think you misunderstood David's comment about risk. There's ALWAYS risk in the stock market, of course. I think David was saying that with a gain like he has in this one, and knowing that he isn't going to give it all back, he didn't see a whole lot of risk in taking that kind of approach. If he sells some in the 16.00s (which is his plan), even if he ends up taking a small loss on the rest, he isn't going to get clobbered. So, not alot of risk.
You're new here, so welcome, and I gave you an applause to remove one of those smiley faces you got for being "slightly rude" to David ;) Being new, I think you misunderstood him, and possibly what this board is about.
David likes the MOMO stocks, thus the 3 Stocks On Fire moniker. He doesn't pump and dump, like we've all seen on other internet boards. He's up front with everybody, and posts his trades BEFORE he takes them, or as he takes them, and he posts when he is going to sell. While David likes to look at fundamentals, he isn't overly concerned about them. If a stock has volume and meets his criteria, he'll play it, even if the company isn't profitable. He plays the chart. Whether we agree with his approach to playing the market or not, at least he's honest about what he's doing.
Again, welcome. If you stick around, I think you'll enjoy the wonderful spirit of helpfulness that exists here, unlike any other board that I've visited. Good luck with your trading!
Hi David ,new to this ,but I really like the site ,to day I found a new site buyins.net ,they keep track of naked shorts ,so may be it can help the investing comunity
and sorry if this get posted on the wrong board as I have yet to master the message board and it is obvious that computer is fairly new techn to me
This message board is clearly being used for propoganda purposes as I was sent an email asking to change my name as it wasn't considered appropriate; before I even had a chance to change it, it was promptly changed for me and I was emailed a new password. If you can't choose your name or to say what you want to, or aren't allowed posting because you oppose the thoughts here, isn't there something wrong? What's the difference between this and communism? This stock is being pumped and dumped by people like the ones heading this board, and I just hope no one here falls for it. CTTY will be back at $5-8 after all of the pump and dumps are done. It may hit $20 or $25 before then, but the stock will find its true valuation again which is in the single digits.
Here is the email copy and pasted so everyone here can see it...
"You have just been sent a personal message by Ramsburg on 3StocksOnFire.org.
IMPORTANT: Remember, this is just a notification. Please do not reply to this
email.
The message they sent you was:
Hi,
Could you please change your name on our board ?
Just go to your profile:
http://www.3stocksonfire.org/trading/index.php?action=profile
Then chose «Account Related Settings», then you can change your name.
This is a serious but friendly board, and I don't think a nickname like
«CTTYISAPUMPANDDUMP» follows the spirit. I must remember you this not Yahoo
Finance or RB boards, and I'm sure that if you want to use our comunity, you
must have some kind of nickname more appropriate.
We welcome all new users, but we are trying to be different here, from all the
other boards on the net, ok ;) ?
best regards,
Reply to this Personal Message here:
http://www.3stocksonfire.org/trading/index.php?action=pm;sa=send;f=inbox;pmsg=814;quote;u=22
"
I don't know about anyone else, but CTTY is not in my 401K or my kids' trust funds. It's called speculation. The money I use is for technical corrections, momentum...etc. The Risk is understood. Maybe you should take a look at "About US" before you post your doom outlook on CTTY. Do you see anyone else posting like you?
Maybe on Yahoo. This is quite different.
So this is only to bring in Yahoo posters to suck them into thinking CTTY is a great stock? Randolph's trailing stops are a great idea and everyone keeps talking about how he can't lose money since he uses them, but I will tell you how he can. The stock comes out with news of completion of equity financing, which the company has already said is coming, and the stock tanks. Why? Because no investment firm would take a stock trading at such ridiculous levels so it will be placed at well below market prices. COI did this and look where it went from, and is at now.Trailing stops don't work on gap downs.
I think that the message that was sent to you was both polite and friendly.
When I first saw your former alias, I was wondering what your agenda was?
This board really IS frequented by helpful, serious and friendly people.
If you have something negative to say about a particular stock, people will read it and comment.
But just being negative isn't enough - you'll have to back your personal opinions up with something - rumours, analysis, facts - something!
What THAT have to do with communism, I really don't know! ;)
So: rethink it, and if you like the spirit of the folks here, then you are surely welcome.
If you don't like it, well then there are lots of other boards.
Just my friendly opinion.
Cheers!
Look, we all need to relax. Nobody is sucking posters to do anything. If I could suggest something:
You haven't been here long, maybe a few days, so say you just sit back and watch, look around, see the opened and closed trades, read the other many great posts that are not David's. I think you will find there is a lot of good advice/observations here for free that would otherwise cost you considerable money elsewhere.
Ranting over one paticular pick is not the general tone of this site, in my opinion.
Many happy future profits for you.
CTTY here no one is forcing anyone to buy or sell any particular stock. Infact I even posted my comment and 'sentiment' about the stock. It was not meant to scare away or attract, but help other traders realise some risks involved with fast movers [Though I traded IIJI myself for a day trade :) ].
We welcome any disent but comon dont make this place another Yahoo MB I am sick of that place, quite frankly.
Dear CTTY,
I don't think you cached the all concept of this website, and the value of this community.
We are a T2T project (from Traders to Traders), our community is growing fast, in numbers and quality. We all work on a friendly environment, we all communicate on a polite way, and the main goal of this website is learning with each other.
Personally, as an Administrator, I must protect this friendly environment! Even, if that means losing 1 or 2 members of this community (collateral damage).
BTW, no! I'm not a Communist (why communist?), neither a Dictator... But trust me; we are not Anarchists as well...
As you can see, I didn't delete any of your posts yet!
So there's your freedom of speech !
I changed your nickname myself, but not before I sent you that private message about that... and because I don't believe it was appropriated here.
You now have also the freedom to chose if you want to stay around on a polite and friendly way, or go away (there's plenty of message boards all around the web).
Nobody is doing any pump & dump scheme over here !
Following 3SOF's picks it's not the goal of this project, the point is to learn from the open portfolio we are managing... sometimes we lose, sometimes we win... Our performance although is 125% during 2 ½ months, using a diversified portfolio.
We win in every profit we made, and we also win in every loss we take (we try to learn from that). This way, it's a win + win project.
But the message I was trying to send you, was just about the way this community works:
Friendly & Polite Traders changing Trading Ideas and Market Knowledge!
If you can't understand that the way you just entered the board wasn't polite & friendly... try to imagine somebody entering your own house on that fast way... I can't do much more then that...
We have other 1847 members... and we have the all market to analyse, so there's a lot more important things to do right now, then talking about this...
Welcome, or goodbye ! (You chose)
Best regards,
Goodbye.
QuoteWe have other 1847 members... and we have the all market to analyse, so there's a lot more important things to do right now, then talking about this...
Very true, but I'm glad that you, Stocky, tommyt and Cumulina took the time to show what fair, tolerant and kind people you are. I give all of you applause. It is a pleasure to T2T with such fine people.
Thank you for keeping this board the great site that it is. It is difficult, for me, to say, enough times, thank you for all your hard work. I appreciate all of you-uns and the advice offered. AND the lack of sarcasm and insults. And the ultimate respect for one another.
Thank You 3SF
Applause, Tirebldr.
I think you express the feeling of most (all!) of us here on 3SOF.
It's a nice place to be, and even the sillier of us (me!) get nice, helpfull and polite answars - and a lot of help.
Cheers!
Comon cumulina you are as good as any other trader. We all make mistakes so I dont want you to take upon yourself again :)
Tire has truely expressed what we all are thinking.
Heading for a beach with my wife and toddler.
Quote from: stocky on July 10, 2005, 02:24:09 PM
Heading for a beach with my wife and toddler.
Hope its not Pensacola Beach or Fort Walton Beach :o
Are "The Blue Angels" still there?
I used to marvel at their skills as they practised!
Lived there in - 86 and -87.
Liked the place - got to appreciate the friendliness of rednecks, who are extremely friendly and helpfull to "aliens" as I was myself. (Hate the term: alian...not the least bit green!)
Ah - "Rosie O'Grady" ...nice!
Cheers!
Well, I don't know those beaches you're talking about, or those «Blue Angels», but there certainly were nice posts here on CTTY's thread. I want to thank your kindness.
Not in the US, but I have years of experience dealing and talking with people on financial boards (in fact, 6 years of experience - my partner Ramsburg owned a financial website since January 1997, when almost anyone in my country even had an internet connection. He was truly a pioneer.)
Anyway, of course outsiders will come and try to destroy our little (well, not so little anymore) place, but we'll be in charge and with your help we won't give them a chance ;)
Considering CTTY, I don't want to consider it much. Listening to candlesticks I will be stopped out today. But it's not in my mind to change a simple designed plan, which is: stop @$16.34 or hold it for a medium term push above $22.
QuoteJust an observation for anyone looking for a stop:
On the 10 minute chart (below) the chart over the past two days is looking like a Head & Shoulders top. The neckline is 17.20 (just before 12:00 yesterday) and 17.22 (just after 12.00 today). If the stock breaks below 17.20, it looks like it could drop some.
After a rally attempt at the open, CTTY has been under pressure all day today on the break of 17.20 support. It's currently at 15.63 BID...15.67 ASK, down $1.71 on the day. At today's print low of 15.55, ALL of the gains on a 15.56 entry would have been given back. Ouch!
I want to congratulate (and applaud) David for having an exit strategy that protected some of his profits, and more importantly, for executing that strategy. That kind of play will keep you alive in this game. There will be plenty of other big winners. Meanwhile, David (and, hopefully,some others here), has a gain on CTTY, rather than giving it all back. Very good, David! :)
http://ts-lc.sc8.finance.lycos.com/1120850014453?User=demo&Pswd=demo&DataType=GIF&Symbol=NASDAQ:CTTY&Interval=10&Permission=1000&Ht=400&Wd=600&Display=2&Study=VOL&Param1=&Param2=&Param3=&FontSize=10&LocaleID=0x0409
I'm perfectly comfortable holding it through more downside, my cost basis is 14.70. Volume has favored the buyers, today's pullback was only 486k. I think there is more to this story, and I'm willing to pay to play.
My stop order was filed at $16.2, good luck tommyt.
I'll keep this stock on close watch ...
QuoteJust an observation for anyone looking for a stop:
On the 10 minute chart (below) the chart over the past two days is looking like a Head & Shoulders top. The neckline is 17.20 (just before 12:00 yesterday) and 17.22 (just after 12.00 today). If the stock breaks below 17.20, it looks like it could drop some.
The high (Head) was 19.64. The neckline is 17.20. A break below 17.20 suggests that the stock "could" drop to 14.76 on a measured move:
19.64 - 17.20 = 2.44 points
17.20 (neckline) - 2.44 points = 14.76
CTTY printed 14.60 this afternoon. Sometimes, these TA pattern targets actually work ;)
http://ts-lc.sc8.finance.lycos.com/1120850014453?User=demo&Pswd=demo&DataType=GIF&Symbol=NASDAQ:CTTY&Interval=10&Permission=1000&Ht=400&Wd=600&Display=2&Study=VOL&Param1=&Param2=&Param3=&FontSize=10&LocaleID=0x0409
Just started a position after the substantial drop.
$ 17.60 to begin.
Quote from: fill_the_gap on July 20, 2005, 02:22:50 PM
Just started a position after the substantial drop.
$ 17.60 to begin.
Jeff, are you still in this ? I like searching thru the wreckage, a few weeks after the interest has played out on this board. It looks like approx a 50% retracement at present, but not certain that this has bottomed. Because of the huge initial runup, it appears to remain very speculative, and one that could go either way. Welcome your very intuitive thoughts on this one.
Are there chances for CTTY to rebound to the 17's. Bought high and am stuck. Any comments will be appreciated.
Thanks.
Quote from: David Randolph on July 06, 2005, 12:00:02 PM
The stock showed up on my filters this morning, but I had not the time to dig a bit and consider the stock to be on the 3 Stocks on Fire portfolio. But then, after the market open, tommyt brought the stock up on the Stock Picking Board (http://www.3stocksonfire.org/trading/index.php?topic=1280.msg7353#msg7353) and that lead me to do some digging.
CTTY is a very small cap stock, it has just 778,184 shares outstanding, considering 3 sources: www.marketwatch.com, www.quote.com and the SEC file for the 1st quarter 2005. With just 778,184 shares outstanding the market cap, at about $16 a share, is around $12M.
The all history chart of the company is this:
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=1831;image)
The stock shot up more than 300% on the 21th of June because of these news:
Catuity shares soar on software deal (http://www.marketwatch.com/news/story.asp?dist=¶m=archive&siteid=mktw&guid=%7B79BD6453%2D0A2F%2D43C9%2D90CE%2DD81AF8BD4633%7D&garden=&minisite=)
Then there were some developments, the CEO sold his shares and quit the job, the stock had a big pullback and now the short term chart looks like this:
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=1832;image)
I don't have time to dig more, but I guess the deal with CreditChecks means a lot for a company with just $12M of market cap. The CEO was pretty cautious too, just announcing the deal when it was completed, and there was no relevant activity in the shares before the news.
I'm in @$15.56.
Everyday I will analyze CTTY after the market close until I sell the stock. I always tell I'm going to sell before I actually take action. You just have to follow the answers to this post.
Everyday our team scans and filters 11000 stocks to come up with the 3 best stocks to buy on a short term basis. We run a diversified public portfolio which is up 125% since May 2005 (http://www.3stocksonfire.org/closed_trades.php). We have great traders in our community which take advantage of short term opportunities in stocks.
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updated chart, any TA comments?
That's a three line strike candlestick pattern, which is a bearish continuation pattern. The stock was down a lot of days in a row, so we got a bullish reaction ... that bullish reaction was made without a technical short term base and volume was weak. It all seems like a short covering rally that will fizzle if we get an higher open today.
Another example of pull-back buy. It has very strong support at $9.00
Today, it is at $16, 60% gain in two days.
There were some news this morning that changed everything: Catuity ralllies on product deployment, letter of intent (http://www.marketwatch.com/news/newsfinder/pulseone.asp?siteid=mktw&dateid=38582.4904370139-840639500&)
Good luck to those holding :)
Quote from: shawFund on August 18, 2005, 11:46:26 AM
Another example of pull-back buy. It has very strong support at $9.00
Today, it is at $16, 60% gain in two days.
Scottrade didn't have any shares available this morning to short, so the shorts are
really getting squeezed since they aren't getting any help from additional shorting during this morning's rally. It would be interesting to know if there were any shares available for shorting at other brokers.
Quote from: David Randolph on August 18, 2005, 12:32:38 PM
There were some news this morning that changed everything: Catuity ralllies on product deployment, letter of intent (http://www.marketwatch.com/news/newsfinder/pulseone.asp?siteid=mktw&dateid=38582.4904370139-840639500&)
Good luck to those holding :)
A "customer loyalty card" doesn't sound like it's going to add enough to the bottom line to warrant a 60% rally in two days, especially when the company lost $1.50 last quarter, and lost $0.75 the quarter before that. And, the company was threatened with NASDAQ delisting at the end of July.
I think you were right when you said short squeeze. ;)
BTW, look at the July percentage increase in short interest. :o
CATUITY INC CTTY
Shares Short 249.70K
Days to Cover 0.2
Short % of Float 33.30%
Total Increase / Decrease 12,771.13%
Agree. Most likely short squeeze.
You know I like to watch the 9-day EMA for bounces and CTTY is at it now so maybe tomorrow a bounce - will watch as even a dip further to the 12 area could work - the 9-day is the darkest line and the 50-day is the orange line
(http://xs43.xs.to/pics/05341/2108ctty.jpg)
That worked out real well with a nice move off the 9-day - over $3
(http://xs43.xs.to/pics/05343/cttymove9day.jpg)
See a Bo on the chart.
Should fly short term. 700 k float.
Very Bullish.
Buying more CTTY. ;D
updated chart:
BO ALERT !!!
Catuity Closes $5.29 Million Raise and Acquisition
Thursday September 1, 3:01 pm ET
DETROIT & MELBOURNE, Australia--(BUSINESS WIRE)--Sept. 1, 2005--Catuity, Inc. (NASDAQ:CTTY - News; ASX:CAT - News), a provider of POS-focused solutions, including loyalty and gift card, said that it had closed a USD $5.29 million capital raise and its acquisition of Loyalty Magic Pty Ltd.
The Company now believes that it is in compliance with Nasdaq listing rules and will advise Nasdaq of these events. Catuity will await confirmation from Nasdaq that the Company is in compliance.
Catuity, Inc. makes the point of sale more profitable for its clients by delivering products and services that reduce costs and generate new revenue. Our retailer clients have more than three million consumers who participate in Catuity-powered loyalty programs. More information on Catuity is available at its website: http://www.catuity.com.
In conjunction with the provisions of the "Safe Harbor" section to the Private Securities Litigation Reform Act of 1995, this release may contain forward-looking statements pertaining to future anticipated projected plans, performance and developments, as well as other statements relating to future operations. All such forward-looking statements are necessarily only estimates of future results and there can be no assurance that actual results will not materially differ from expectations. Further information on potential factors that could affect Catuity, Inc. is included in the Company's Form 10-K, which is filed with the US Securities & Exchange Commission.
Contact:
hi,
I would appreciate technical advise!!!
was this a false BO ? ???
thanks in advance
Oliver
chart:
Reversal..?
Dilution here (from 10k) not sure if it is that significant.
"
Applicable securities listing rules of the Australian Stock Exchange and Nasdaq Capital Market require that we obtain approval from our stockholders for any conversion rights for the Senior Notes and Preferred Shares, and exercise rights for the Warrants, that would result in more than 335,000 shares of Common Stock being issuable on conversion or exercise of the foregoing securities. Accordingly, such exercise or conversion rights are specifically subject to obtaining stockholder approval. We agreed with the Investors that we would convene the Special Meeting to seek this approval, and recommend to our stockholders that such approval be given. In addition, the transaction documents limit each Investor's beneficial ownership of Catuity to no more than 4.99% at any given time, subject to the Investor's waiver of such restrictive covenant upon giving advance notice to us. "
Changed Ticker Symbol
'CTTY' is no longer valid. It has changed to CTTY.PK