Monday, October 7, 2013

We helped some people today with Blumont, Asiason crisis!

Today is a stressful day for many remisier because we as a broker have to decide whether to let our client take the Blumont trade. After much consideration, we decided to stop people from buying it and focus more on good fundamental stock. Thank you for appreciating our effort, above is a client thank you note via SMS.

This morning our team are stopping people from buying Asiason and Blumont  after SGX lift suspension. In relation to the SGX announcement on Asiasons, Blumont, and LionGold being declared Designated Securities, and hence online trading for clients is suspended. A raw estimate, if you have entered some where around 0.27 while it is trading actively and big boys dumping, and u sell panicky at 0.14 at the closing you would have lost 20-45% in this irrational trade. 

We are really surprise that so many people are trying to get in Blumont and Asiason at this moment, just like the moth flying to the flame, people already know the price is falling yet want to try catching the bottom but too bad these bargain hunters are retailers that do not know anything happening on these counters. However we know, when 9 out of 10 retail investors agree on one similar action, big boys will be doing the other side. Today many people bought, sold and lost. I am happy that our team manage to stop many people from jumping in, it is really Crazy that most people feel risky when the stock move from 0.10 to $2.5, and most people feel it is safe when price drop from $2.5 to $0.13

How it started: 2 Oct

SIAS and SGX query ‘steep increase’ in Blumont share price