Selling Bankruptcy stocks

Discussion in 'Ask any question!' started by Blvdm50, Jun 10, 2020.

  1. Blvdm50

    Blvdm50 New Member

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    Hello, I’m new to the stock market and this forum. I made a poor choice in buying stock in hertz last week, before I found out they filed for bankruptcy. Not much, only about 60 shares. I sold it today for 3.51 because that’s what it was going for at the time. Within an hour it dropped to 2.50. My question is, what happens when you sell a stock and the price drops so low so quick? Will the stock sell? Since the company is tanking, am I stuck with this stock which will probably go down to 0?
     
  2. Phil's Money

    Phil's Money Member

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    Yes,,,,, any stock that is traded on the major exchanges.... they have what's called "Market Makers" your stock will sell at what ever the bid is at the time you submit the sell order... where people run into problems is with the pink sheets,,, Be careful out there....
     

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  3. Blvdm50

    Blvdm50 New Member

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    Thank you for your reply. I should’ve done some research before I made that purchase. I’m not to proud to admit my faults. I just want to learn from them.
     
  4. Blvdm50

    Blvdm50 New Member

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    In looking at my history on the app, the status was expired about a day later. Does this mean it wasn’t bought and the stock was returned to me?
     
  5. Phil's Money

    Phil's Money Member

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    It's hard to say,,,,,, you might have messed up when you placed the order... or,,,, It sounds like you put the stock up for sale using a limit order... and nobody wanted to pay the price you listed it for..
     
  6. Phil's Money

    Phil's Money Member

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    You can not hesitate to hit the button and sell the stock,,,,, (FYI) It's the same button you used to purchase it....lol...... and take a small loss on a position.... when the trade starts moving against you... that is the major reason why people get in trouble trading....they don't want to take a loss on a position.... So,,, what they will do is average down there position..... not a good idea...
    The logic people use is,,,, if it was a good buy at $3.00 it must be a screaming buy at $2.00????? You should never have rode it down that far to start with!!! ... set stop losses on positions,,,,, or trailing stops...
    You have to separate your emotions from your trading... The 2 together will have you making bad decisions.... gold take my money.gif
     
  7. Phil's Money

    Phil's Money Member

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    I'm on a roll,, one more piece of wisdom........Trading in today's markets,,, is not for the weak at heart.. With the High Freq Trading, naked short selling and spoofing the bids... You are up against some real crooks,,,,, that want to separate you from your money... ......
    Don't get down on yourself for making mistakes, it's all part of the learning process.... You can't take it so personal,,,,,, you get better at it

    the longer you trade... gold play the market its fun.png
     
  8. Blvdm50

    Blvdm50 New Member

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    I’m ok with taking a few losses. Can’t come in thinking every choice will be a win. I sold it about 40 cents higher than when I bought it, but it dropped so fast, I think the sell price was just far too high. What is spoofing bids?
     
  9. Phil's Money

    Phil's Money Member

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    "Spoofing" is a practice in which traders attempt to give an artificial impression of market conditions by entering and quickly canceling large buy or sell orders
     
  10. Blvdm50

    Blvdm50 New Member

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    I take it the more reputable companies avoid that, KO, FAANG, Tesla etc... and those hard up for cash are more prone?
     
  11. Phil's Money

    Phil's Money Member

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    No, No, No,,,,, it's a common practice on all stocks...... our market is run by Crooks,,,,, But,, it's the only Market we got.. gold play the market its fun.png
     
  12. Phil's Money

    Phil's Money Member

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    Spoofing in the 2010 Flash Crash
    The 2010 Flash Crash erased almost $1 trillion in market value in U.S. stock markets. The market crash was characterized by a rapid decline in the stock markets and their quick partial rebound within an hour.

    Following a series of investigations, market manipulation using spoofing schemes was determined as one of the primary triggers of the Flash Crash. In 2015, the U.S. Department of Justice filed charges against a London-based trader, Navinder Singh Sarao. He was accused of market manipulation after placing a large order for E-Mini S&P 500 stock index futures contracts with the intent to cancel the order prior to execution. Click on the Blue 2010 Flash Crash Link above for the article .....
     
  13. Phil's Money

    Phil's Money Member

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    Watch this video
     
  14. Blvdm50

    Blvdm50 New Member

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    Hm. Ok. Still going on even though it was banned over a decade ago?
     
  15. The Brontide

    The Brontide Active Member

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    Yes bankrupt stocks still have a market.

    I made a really speculative pick on Circuit City. Memba them?

    Picked up a few thousand shares for pennies when I heard Carlos was putting in a bid for the company carcass.

    Short story shorter, the courts didn't bite and the remains went to Tiger. I still sold my shares off easily for lots more pennies less.

    I don't play bankrupt trades anymore lmao.
     
  16. Bridget Mallory

    Bridget Mallory Active Member

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    can the stockholders sue them?
     

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