I quickly cancelled my cheeky bid but the price has actually gone up.
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I quickly cancelled my cheeky bid but the price has actually gone up.
what does everyone expect the share price to do now.. i see either a bailout on the cards (SP Up) or CNU lose some of the roll out contract? (SP down)
Jamiec26, Toss a coin 3 times and take the winning count would be as accurate as any method at the moment.
No divi if and when confirmed by the directors will mean another sharp drop but since that is half expected by the market, a rebound soon after is possible, meaning that could be the time to buy (but not now).
Government intervention via an adjustment to CNU's contractual obligations will lift the share price if it's clearly benefiting CNU, which it probably will. The time to buy could be just before the revised contract is announced.
Meanwhile, I'm staying out - better prospects elsewhere.
BC
Yes Jamiec, Happy to be out but like a relationship breakup the pain doesn't just go away with such a large sum involved, I feel for all current holders and those who have sold out.
Averaging down never works when the Bears are in control. It's tempting because it takes your average cost price down and so seems that you've lost less money, but that's an illusion - you've lost a smaller % of a larger amount, and if the price is still trending down, you end up losing more.
If you REALLY believe that a stock has been oversold and is starting to recover then buying in again at a lower price can work. For example, I bought a second parcel of CHN.asx yesterday because it has a cash position per share much higher than the market price. But generally, I avoid averaging down - it gives a false security that somehow you've stopped the rot when in fact you have only thrown more of your good money into a what has turned out to be a bad investment.
Buy instead on the upward. Picking bottoms is a grubby business and averaging down can be a nightmare in the making.
BC
I usually only average down in an upward trend.
Wise advice Bobcat, learnt my lesson here on CNU,Dil and Ttk