As p nearly $70,000 in trading profits in the first month or so in 2011 (I don’t say it to be an ass or to brag, I say it because as a trader, your profits are your batting average and far too many “gurus” don’t tell you their batting average because they suck)subscribers and know I’ve been on quite a tear lately, u
One of my less memorable but still successful trades was earning just over $1,500 shorting Onstream Media Corp (ONSM), which is a company that actually works with penny stock promoters. (the stock is now down 35%+ since my short although I covered well on a small position)
The other was even less memorable when I shorted the Tobin Smith hyped up piece of garbage China Tel Group, Inc (CHTL) where I made a measly $600 shorting at 40 cents/share but covering faaaar too soon (the stock is now down 50%+ in 2 weeks)…but at least I wrote a kick ass blog post outlining how Tobin got the stock up (temporarily)
Now these 2 stocks are irrelevant — and probably bankrupt — in the long run, but they exemplify the blog post title.
First, look at their terrible 1-year charts:
I love short selling every single spike as we see the longterm trend is solidly in place.
Download a PDF version of this post.
Now I already wrote about why CHTL was up…for a few days…and this coming week I’ll be outlining how Tobin Smith gets paid big bucks for his other penny stock promotions, but what’s a sign ONSM stinks?
Easy, look at their most recent and typically ugly earnings statement, released at the SINGLE WORST TIME SLOT POSSIBLE, Friday night at 9:39pm EST when NO journalists are working to cover any stories and no shareholder can sell.
What is ONSM trying to hide exactly? Their earnings of course! Revenue is a dud:
Total revenues were approximately $16.7 million for the fiscal year ended September 30, 2010 (FY10), a decrease of approximately $233,000, or 1.4%, from fiscal 2009
Losses are nearly half the revenue!
Consolidated net loss for fiscal 2010 decreased 21% to approximately $9.3 million, or $1.20 loss per share, compared to a net loss of approximately $11.8 million, or $1.63 loss per share, in fiscal 2009
Next thing you know Tobin Smith will be propping up ONSM…someone’s gotta pay for all those tanning sessions! 🙂