I agree that these are small amounts, and the question for me at the moment is whether it will go to 400,
which from the current 425.8 sell price would be just 6%
you said about 0.7% not being plummeting, but remember that 6% in a year is a healthy return.
0.7% per trading day approximates to 0.7% x 5/7 x 365.25 = 182.63% in a year which is huge.
so it is plummetting in slow motion. now one day it can be +.7% another day -.7%, the problem is when its continually say -.7%. today in fact the price moved up and was a "refinement" of yesterday, the price range a subset of yesterday's, but its probably just consolidating before descending further.
I expect it to eventually rebound, I regard the price as just plummetting short term, and believe it will generally remain above 350, could momentarily go below 350 but will soon return above 350. long term it will rocket, but short term its plummetting.
anyway, although everyone wants to make profits from say a price rocketing 25% in one day, investment is usually about an accumulation of marginal gains. a subtle change in margins can change profit into loss. share prices tend to go nowhere for weeks, and then they rocket up a notch, and then they go nowhere for weeks etc. my methodology is to buy in when the next notch is up rather than down, I sometimes misjudge, its a question of success rate.
@philiptod I think the really big hazard is the short term effect of whatever they vote, whether its independence or dependence. I think the election itself could be used as a pretext to crash the markets. the insiders are looking for a fight and will use anything as an excuse to plummet the prices.
another hazard is when interest rates rise, this will be good for the economy but in the short term will be bad for the stock market.
for the long term, I think independence will be good for the english side of RMG, because Scotland has a lot of remote places with low population density. what I imagine could happen is that they set up an independent subsidiary of RMG for Scotland.
as tonycl suggests, I doubt anyone knows for sure, you need to react to change, to revise predictions based on change and to invest based on your predictions. my money is that over some years their standpoint is strong because they have so many assets they can sell off to finance expansion. my attitude is to sail out when the tide is at the highest point, and to quit when the tide is at the low point. and I think this is a timeframe of up to 6 months.
I dont have any RMG shares currently, so the only risk is time not money at the moment.
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