PABC - Buy on the rumor, sell on the fact ?

cse.alpha · 1 PABC - Buy on the rumor, sell on the fact ? Fri Apr 29, 2011 10:07 am

cse.alpha

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PABC - Buy on the rumor, sell on the fact ?

PABC was sharply up yesterday on over 3 million shares - news seemed to have leaked on the good 1Q results and share sub division, which were both coincidentally announced just after trading closed on CSE.

Surely the SEC has grounds to investigate the unusual trading in PABC yesterday?

Anyway, the share has not moved up further today upon the official release of the results and split news - maybe the results and news was not surprising as the news had leaked to market participants earlier?

A case of buying on the rumor, and selling on the fact perhaps?

milanka · 2 Re: PABC - Buy on the rumor, sell on the fact ? Fri Apr 29, 2011 10:15 am

milanka

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cse.alpha wrote:PABC - Buy on the rumor, sell on the fact ?

Surely the SEC has grounds to investigate the unusual trading in PABC yesterday?

Yes they have all the information to further investigate . But would they do a inquery / investigation ? Surely - No ! Embarassed

Hawk Eye · 3 Re: PABC - Buy on the rumor, sell on the fact ? Fri Apr 29, 2011 11:10 am

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They will only go behind and investigate only if a small time poor investor involved in it,

PABC Diretors themself buying big time for the last few months. !

Antonym · 4 Re: PABC - Buy on the rumor, sell on the fact ? Fri Apr 29, 2011 12:36 pm

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This appears to be a case of trading on privileged information; the SEC must investigate and penalize any offenders... Consistently turning a blind eye to such transgressions makes the CSE suspect in the eyes of potential foreign investors. As the Raj Rajaratnam case shows, these things are taken seriously in most other countries...

And then we ask why foreigners are selling!