MPI and PAX Similarities

MPI and PAX might have similarities.
(Source:www.traderspizza.com posted by andrei)

Both went up big time upon the announcement of their respective ASMs.

MPI rocketed to 5.50 and then retraced to 4.70. PAX on the other hand, soared to 3.30 and then retraced to 2.40. Both never went back to their take off prices of 3.0 and 1.20 respectively.

Normally, the positive price action that precedes an ASM is due to “insiders” and their friends sudden buying as they are privy to the business deals and details of the ASM . Their initial buying will set the motion for the stock price. Rumor will fly and it will fan speculation to the public. As more and more join the fray, momentum in the process is created and sustained for sometime.

But not all ASM can make or precedes a positive price action. There many cases, especially for thirdliners, that an ASM is announced but nothing happened in their prices, even after their respective ASM.

Hence, it goes without saying then that, an ASM that precedes a very positive action can only mean that there is “something good” in the ASM.

Let’s check the validity of this observation then! How about applying it to MPI’s ASM?

MPI’s ASM reveals that MPI

1. Share Sale that would generate capital and attract possible investor by increasing the shares float to more than 8%
2. MPI wants to increase ownership in the Tollway Operation from 5% to 30% with CITRA.

So you see, the price action that preceded the ASM of MPI was without a basis then. The ASM was loaded with business plans and deals. Perhaps, we can safely say then that our observation is valid.

And the better thing is, after the ASM, the price of MPI soared further closing to 6.20 last Friday.

Now let’s have PAX. We are claiming similarity with MPI. Let’s check once more PAX’s points of similarity with MPI.

1. Positive Price Action preceeding its ASM -----Yes PAX did soar high
2. Rumor of any kind-------Yes PAX is rumored to be having a Malaysian investor or so.

With the above, PAX seems to fit a perfect comparison with MPI’s. Are we to say then that we have something good in stored at PAX’s ASM? You bet! The price did soar prior to the ASM right?

And maybe a better surprise to come, MPI soared after its ASM, how about PAX’s price soaring big time after its ASM too? Hello P5 or Hello Garci!

Get out of your dreams!