3SOF

Quote from: setravis on August 15, 2005, 02:42:11 PM
Things are looking very interesting again.

stockwire.com has given edne the kiss of death, be careful as they were right on ctty :

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.

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

«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 ...