Bankrupt Companies are interesting to to trade. Let’s look at Washington Mutual $WAMUQ

OTC: WAMUQ

Washington Mutual is the holding company of the failed bank Washington Mutual.

Why is this stock so active?
- Investors are hoping that Washington Mutual would win the law suit against JPMorgan. They are expecting to receive close to $4bln.

The stock has been trading from 3cts to 40cts in the past year. This stock ran up to 40cts, and dropped to 10ct. Now it’s back at 40cts.

I DO NOT SUPPORT TRADING PENNY STOCK. THIS IS ONLY AN INTERESTING INFORMATION. TRADE THIS AT YOUR OWN DISCRETION. I DISCOURAGE IT.

Let’s take a look at WAMUQ WEEKLY chart. You will be tempted by GREED to research more about WAMUQ.

What would have been a solid trading plan.

MARCH 09, BUY at 3cts, Sell at 12cts. 4X
JUNE 09, BUY at 10cts, Sell at 30cts.  3X
December 09, BUY at 10cts, Sell at 35cts. 3X

Not too bad… 4 X 3 X 3 = 36 times.

$10k investment could have become $360k This is crazy right?

WAMUQ investors are praying that WAMUQ will jump to $5 !

That’s 16X. I don’t know what they are thinking. I will only stare at the stock chart if it ever goes to $5.

Just Don’t Trade This. Not a DRAGON STOCK.