I received a lot of interesting email after my post about Andy Zaky, some of which included emails from actual clients/subscribers of his who had lost a ton of money (and I do mean a ton).
As a follow-up, here are some very interesting articles that have appeared in the past day or so that adds more color to the story; most of the new content was prompted by the same experience that I had - - that is, the real-life clients/subscribers writing in to the original author to tell their own stories.
Not Reading Slope Can Be Expensive
Back on Tuesday, February 12th, our host Tim noted natural resources stocks were weakening and suggested shorting Cliffs Natural Resources (CLF).
The next day, Cliffs dived 20% after announcing a cut in its dividend after the close on Tuesday.
From A Mess To The Masses
The old Odd Lot Theory was based on a simple premise: the average, small investor (those who couldn't afford round lots of shares) was usually wrong. Guess which stock Fidelity customers were buying with both hands as it dropped 20% on February 13th?
Hecla Mining (symbol HL) has been one of my favorite shorts in a sector I've been bearish on for ages - gold miners. Of course, I've managed to antagonize the "gold is going to $5,000/ounce" crowd (sort of like the Apple is going to $1,000/share crowd) by repeatedly pointing to how miners are completely doomed, and I continue to stand by this disposition.
In any event, Hecla is down about 13% just in the first hour of trading today, and I wouldn't fall over dead of shock if this stock was trading under a buck within the next couple of years.