Monday, May 16, 2011

More Signs of MoMo Shakeout - Rediff.com (REDF)

TweetThis
Remember when Rediff.com (REDF) made an announcement about a "group buying" service in 40 cities, and it was cheered as the "Groupon of India" (rah rah!)?  [Apr 26, 2011: Forbes - Rediff Announces Local Deals Service, Stock Skyrockets]  The stock hit $13s that day, and bubbled up to hit $18 two sessions later.  Since then?  POOF.



Just fill one gap at $12 (one more to go in mid $9s) and is now substantially below the level when it made the announcement. 

Everywhere I look the "social media" and "groupon clones" are taking knives to the backs.  This is the other side of the mountain when you play the nonsense trading lemming action.  You can dance (just do it by the exit), and make sure you never drink (Kool Aid).

On the positive side this 'cleansing' should lead to some nice opportunities for the second half of 2011.

No position


Disclaimer: The opinions listed on this blog are for educational purpose only. You should do your own research before making any decisions.
This blog, its affiliates, partners or authors are not responsible or liable for any misstatements and/or losses you might sustain from the content provided.

Copyright @2012 FundMyMutualFund.com