Watching the stock market #investments
As a small investor, I obviously watch the stock market mostly to look for bargains but also to look for trends. I also watch some of the forums to see what other investors are saying. There is a lot of ramping because sentiment does influence buying and selling but not to an extent that we can influence it. I do suspect that traders in the City of London are more positive and tend to buy on days when the sun is shining! I don’t base my dealing on the weather forecast, though.
Yes, Solo Oil has been my centre of attention this week. The price has gone up nearly 12% this morning. The bid price has gone from 0.56 last Friday to 0.75 today. Can it go higher? I think it can and will. The recent placing was 400M shares and I think around 350M of those have been dumped onto the market. The placing was at 0.5 and so they are making a quick profit. So we have 0.5M to go and then the price could really soar. The other fly in the ointment is the market makers who keep increasing to the spread and cutting the ask price to trigger stop losses and pick up cheap shares.
The market as a whole has been quite flat or down a little. There are still worries about Brexit and there are political threats. So many are looking for the relative safety of dividend-paying stocks. GSK Pays good dividends and that’s why I’m keeping my shares but they are also up because of the relatively low value of the pound. If the pound starts to appreciate then I might sell. My other two pharma shares are Immunpharma and Verona Pharma who recently consolidated ( 1 for 50). I think both of these shares have a lot of potential. Verona is way undervalued.