I’m still getting over my Etrade PRO being down for when I wanted to short MJNA before it crashed 50% yesterday…which is why I’m SO determined to make StocksToTrade.com even more perfect…
But as my trading challenge students and PennyStocking Silver students know I called the exact top on the pump with a $3 million mailer from the superbly unethical Chuck Hughes, ECAU, the other day, making nearly 30%, or $5,000+ in 30 minutes and recording the whole crash/trade alert live on this video.
Here’s the superb trade:
$5,356profitECAUShort Stock
Entry comments: Shortable at IB, this is why you need an account there…read my post about brokers here http://tim.ly/shortbrokers probly early, but yesterday’s price action could be signs of topping and you gotta be early to be there before dump time so I’ll risk it…might box my short too if it breakouts
Exit comments:THAT’s how you friggin trade you ingrates…wait til you see this perfect video lessons I got it all live
Posted by timothysykes /
http://profit.ly/1MnHpP
Flash forward a week and I lost over $12,000 today being too aggressive and being bought in by my broker…watch that video lesson here, which is even more important since losses are better teachers than profits.
I made $4,000 back correctly betting against the stock once the buys from the buyin notice subsided and here I am short roughly 50,000 shares overnight since the next crash will likely happen quickly when the stock breaks below $2/share so you have to be early to best short sell and profit from such a crash…
And it’s the same exact pattern time and time again no different than these charts I featured back in 2010, the same charts that made me a millionaire in my early 20s.
But aside from repeating myself, I want to feature solid research done by one individual who deserves recognition…in the past I used to write long exposes like this HERE and HERE, but I was in Turks & Caicos filming last week, in LA right now filming and on my way to Italy on Friday to teach students in Rome…so exposes are on the back burner for me…it’s GREAT to see a new generation of exposers popping up.
Here are some solid reasons why ECAU will drop hard soon and why that drop is predictable.
1. It has the same promoters as STEV and STVF, both of which did the exact 75 cents/share to $3ish pump, dump down to the $1s, bounce up to the low $2s and then a slow gradual fade into oblivion…this is what ECAU’s longterm chart will inevitably look like…it’s not a question of if, just when…and STVF bounced 5 days before failing, and dropping 20% in one day…tomorrow is ECAU’s day #5 
2. ECAU’s chart has already crashed, but the bounce is nearly 100% off its lows…as I talking in my PennyStocking Framework DVD, this is a classic #6 in the 7 step framework…and #6s usually bust with morning panics, which could happen as early as tomorrow morning here, which is why I’m proud to be short overnight:
3. Most shorts were bought in today meaning there aren’t that many left who can be squeezed…those of us who found more shares to short have a special broker which is only accessible to high net worth individuals (contact me here for an introduction if you have $30,000 or more)
4. As this tweet by the Fraud Institute proves, ECAU’s largest shareholder with over 50 million shares (see SEC filing confirming their holdings) was just dissolved the other day (perhaps the reason for the intraday drop) because they didn’t have a real address:
The Arizona Corporation Commission made the decision to dissolve the limited liability company “DBPJ Stock… fb.me/2j1kI5lnN
— Fraud Research (@FraudResearch) February 7, 2013
5. That shareholder was warned back in November since they failed to have “a known place of business”
6. Yup, ECAU’s domain name was registered to a fictitious/laughable address:
Check out the fictitious Registrant address listed for $ECAU‘s EchoAutomotive.com: “1600 Pennsylvania Ave.” bit.ly/X4mmLG
— Fraud Research (@FraudResearch) January 28, 2013
7. The “company” managing the $3 million promotional budget for ECAU was also dissolved:
Is this the same “DH Media, LLC” that is managing the $3M budget for the $ECAU stock promotion? twitter.com/FraudResearch/…
— Fraud Research (@FraudResearch) January 28, 2013
8. ECAU’s president has headed bankrupt companies and been sued for nasty stuff in the past…not a good businessman, not deserving of a $155 million marketcap, let alone a $55 million marketcap or even a $5 million market cap:
Harsh review of $ECAU‘s President @jplotke and several auto companies he was involved with (several are now bankrupt) bit.ly/WtPCzi
— Fraud Research (@FraudResearch) January 29, 2013
General Motors Corporation v. KM2 and SMA Patents, LLC Case No. 06-10757 (2 companies that Plotke was formerly with prior to joining $ECAU)
— Fraud Research (@FraudResearch) January 29, 2013
9. ECAU just updated their financials…revenues of $6,000 for the latest quarter and losses of nearly $1.5 million…LOL, seriously
10. ECAU is a blatant pump with hardcopy mailers! See this video where I mention 77 of these kinds of pumps…ALL of them crash after going Supernova just like ECAU did:
Posted in Penny Stock Research Reports
