24th Oct and already selling stock planned for Nov/Dec, and re-ordering from suppliers yesterday. it is always busy this time off year but I am finding demand even higher this year in the UK/Euro and we are sending a lot to Australia , using RMG track and signed service. RMG are very busy. Just wish they would bring my mail sacks 200 please.
"I think the RMG share price is the opposite of that, if enough people sell, the price will continue moving up to 500 but if too many buy, then the price will return to 400." and "if too many are buying, the mm's can get a deficit and they then plummet the price." Sorry Richard but you are wrong. RMG and other FTSE 100 companies are traded on SETS. There are no middle men (market makers) involved in these trades, the automatic system simply matches up sellers and buyers. Your broker puts in your shares to either buy or sell and SETS matches up the other half of the transaction. So how can "they" as in the market makers "get a deficit and plummet the price"?
there was some film, possibly Elf, where Santa's sleigh stopped flying because nobody believed in Santa. that his sleigh would only fly if enough people believed. in central park they were trying to get a crowd of people to believe in Santa in order to get santa's sleigh airborne, they were all trying their best to believe in santa, and eventually it worked and the sleigh became airborne.
I think the RMG share price is the opposite of that, if enough people sell, the price will continue moving up to 500
but if too many buy, then the price will return to 400.
so its an irony, the price will only improve if everyone stops believing in the company!
its a good time to go on holiday, if you have the money, fly south to the southern hemisphere where it will be summer, or to the tropics where its summer all year round.
I evaluated the portfolio I had on 1st Oct, on 11th that would have lost -6.18%, and now 23rd it would have lost -4.3%. so it has regained 1.88% since 11th, but hasnt regained 1st oct.
I'm not investing because of the general ambience, of numerous profit warnings. one of the shares I quit that had announced healthy profits announced reduced turnover, and the price plummetted some 20% in one day!
I sold that one because I sold everything, this shows the power of trading with the general trend.
you shouldnt follow investor trends, but you should follow company trends!
if too many are buying, the mm's can get a deficit and they then plummet the price.
move to cash when there is a blizzard of profit warnings, because these are "contagious". pay the CGT, its the lesser evil.
where profits have been good, prices havent improved much.
anyone who buys shares now could succeed, but you are skating on thin ice.
Tried arguing that RM should pay VAT and that it's exemption contravenes EU law - unsuccessful this time, but I feel it won't always be the case. Can't see RM shaking off the requirement to deliver to every UK address but keeping it's VAT exemption.
Google I believe quote the trade price - 3rd column from left in RMG share trades above. Out of trading hours this can vary quite widely from the average of bid and offer prices - it is presently 463.95 , the last trade price. Anyway thing is the sp is steadily climbing maybe because, with the party conference season over, it becomes less of a political imperative for the price to be low (election next year though and the government still own 30%). RMG seem to be making internally tremendous strides in improved automation and overall efficiency, are marketing their product a lot more aggressively and are making inroads into European business. For what little it's worth,I have viewed it since inception as a long-term buy. As oldish brokers used to say 'one to salt away'.
you may be right about 6.00 being too high, could be the intense buying that pushed the price too high.
if you sold your 399 ones now, you would make a healthy 13% profit to counteract the ones bought at 526.
if the day's low goes clearly above 450, then 500 could be next, but its also likely then to return to 450. the market makers usually dont progress prices too fast, but they maximize their profits from each price band.
so you should think then of selling near 500, and rebuying at 450.
but the interims could cause their own problems.
I am really tempted to buy in as a short term trade if it moves clearly above 450.
if the price remains at 450 too long, its probably best to sell some, as it could return to 400.
until the interims, I think its now above 400 for many weeks.
At the moment I have some conflicting ideas, I want to buy RMG shares, but I also want to be more cautious than usual. I am following the RMG development not just to make money but also to learn as its a more complicated scenario.
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