BHM couldn't decide which way to go today..lost over 50 and dipped under 1200 early morning...jumped to 1330 midday only to settle at 1231 -40.0 (-3.1%) when the market closed...this stock can look bullish, bearish and rubbish on the same day..
Down -91 (-7.4%) at 1140..even hit 1100 for an instant today...BHM just doesn't know which way to go anymore..or to be more precise investors don't know which it might head for..I got in and out BHM losing a few hundred quids and considered myself lucky comparing with the poor investors who got in when the price was a few times as much as the current one...this stock used to trade over £50...analysts putting targets almost reaching 3 digit figures in pounds..that was not long time ago..causing ordinary people like us losing tens of thousands of pounds...this must be a joke if not the biggest swindle ever...the most popular stock has turned out to be a freak of the market...so much for the non-manipulative markets...stay well clear of this freak please..
[This message has been edited by rizgar (edited 28-11-2000).]
Here we go... I would't short now, downside 8 quid, upside 12-15... in no time down again to 981(-19) after hitting 900 early morning and 915 midday...1/6 of its price in August...so if I'd bought 1000 shares 3 or 4 months ago paying £54,000..I'd have ended up with 9,810 today...it came down from 2400 to 981 in 3 weeks..how elastic must the poor bollinger bands be to keep the price within the upper- and lower-band?
[This message has been edited by rizgar (edited 29-11-2000).]
I hope you are speaking hypothetically, Riz because there will be a lot of poor souls out there who will have done precisely that...bought at 54 quid on the strength of tipsters etc hyping them up.
I've said it before but get the fundamentals right and no matter what happens you've got a chance.
[This message has been edited by shelman (edited 29-11-2000).]
Down 102 to 879..as David said well below its issue price...so now those analysts/brokers/newspapers etc. who hyped BHM will start questioning it's issue price..
SUN started it today saying "Bookham's technology is exciting but the shares went too far, too fast - partly because GOLDMAN SACHS restricted the flotation to ensure demand outstripped supply. It was shabby - and may yet destabilise the firm."
I wonder if anyone did say it was nasty at that time...the same Goldman is still said to claim the shares could hit 6000p...well saying doesn't hurt him, does it?
It also appears that founder Andrew Rickman sold 1.2million shares to scoop £40million in cash 2 months ago when private investors were busy to put their hard earned money in BHM at around £30..
BHM is going to be the best and most hurting lesson for private investors..so much to learn from this experience...
Down -49 (-9.9%) to 444 on friday...no support left on the chart...freefall unless they come up with some positive news...only negative ones more likely: one of Britain's fastest-growing company now laying off 150 of its 1,000 staff.
It appears that Andrew Rickman, Bookham's former chief now only the chairman, after selling hundreds of millions of pounds of shares at £33.50 to make £40m out of investors' hard-earned money resigned the chief executive's post so he could spend more time thinking about strategy...what strategy, another hype and making millions out of his share holders money?
BHM is certainly a typical example of stock market swindles..only if we ordinary traders/investors could learn a lesson out of it...maybe we have, till the next hype that is...
John Waples summarizes it nicely in a sentence:
"£33.50? What suckers the investment managers must have been! Do not laugh too much, though - it was your pension money they were investing."
Well, they do say that 90% of professionals underperform the stock market....there's why! Thanks for resurrecting the thread - interesting to read comments from the £10-£15 range, and how its dropped since.
Apart from a bid, or MM manipulaion, there is little to lift this stock now....
A good point Riz, exactly my sentiment for some time, what on earth is the point of TA.
Technical analysts must realise that TA does not work in this market. BEWARE Everything heading south, watched the DOW plummet real time chart etc on MyTrack tonight. Depressing or what. The market is a dangerous place right now unless you are shorting via CFD. I think acceleration of selling has to be on the cards this week. I believe the DOW is now over priced given the bleak prospect for future earnings and recession in US. Breaking one support level after another. If a massive correction occurs watch the FED step in to cut rates prior to 20/3. This will happen despite the NFP data because of the serious effect on US economy. More likely scenario, the US indices bounce before continuing their relentless decline with more profit warnings, DOWN, DOWN, Down, ................. Where will it all end?
glad to achieve that Tx..getting you to post as I miss your posts for some time...the only problem is that you covered a couple of points I am raising in my Nasdaq thread just writing now...well like-minded or what!
After ridiculing BHM in its downhills travel from around 1400 to 327...I thought I'd better post the signs that it might have bottomed out at 327 for anyone who might be interested in its travel up...
Up today 31 (9.5%) 358 when most tech stocks hammered down and after froming double bottom at 327...I realized that it's gone up in US as well today by %23...it might be time to watch this one closely as of tomorrow...