CTTY.PK

[TRUNK]

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  

[tommyt]

David,
When you have a moment could you explain how many shares are trading over and over? What does this mean?

[David Randolph]

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 

MHO

[David Randolph]

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).

[TRUNK]

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

[stocks2watch2]

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.

[oicpecnoc]

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!!!!!!!!!!!!!!!!!!!!!!!

[bocasva]

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?  

[CTTY]

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

[stocky]

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.

[David Randolph]

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 ...

[bomson]

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 ...

[bomson]

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.

[CTTY]

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!

[Melf Elf]

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.

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.