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ERG 0.0¢

ERG - Just an Observation

  1. TheInformer

    99 Posts.

    The Card licence deal has raised it ugly head once again. I wonder how the auditors are feeling right now...relieved????

    The cracks are appearing, the message is clear to all investors small and large. Why hold this stock in an environment where there is so much uncertainty and danger.

    I am amazed that optimistic behaviour is not temperted by an acknowledgement of the facts that surrounds the stock.

    The question I ask of all the existing shareholders are the following;

    If this stock is safe for the long haul then there is no reason to hold it, in an environment where there is so much uncertainty. The old rules apply, you can always buy back when the market mood is more conducive to the stock.

    If you look at the stock activity and the chart you can see the trend and all the price hurdles that will need to be jumped on the way up.

    If this stock rebounds to $1.00 plus, there will always be room in the spread to take your share of the upside.

    To receive criticism from members on this site needs to measured. I have continued to present a view on ERG's future. To date nothing has appeared to suggest that the stock is a safe haven in an environment where the market is questioning corporate governance.

    If I am not mistaken, ERG has been proven to be a company with questionable accounting practices, a company with a reputation of making promises that have not crystalised, ala, convertible note buy back, which in my view was a half hearted attempt to prop up the stock in an environment where its integrity and financial stability was at risk. Window dressing would an appropriate term to apply to the situation. Not to mention a company with a "going concern" issue.

    The warning bells are ringing, the violin players on the Titanic are playing, you can choose to line up for the remaining life boats and play it safe by putting both feet firmly in the middle of the life boat. This is basic investment management techniques.

    The rules of engagement are as follows, survival, survival, survival are the basics. You can look into the crystal ball, one hopes that ERG will survive and prosper, in the mean time you can choose to sit on the side lines to watch the game.

    On a risk reward equation, if you choose to go to the casino, the CROWN has a roulette table. You can choose RED or BLACK, perhaps a 50/50 bet. If you apply the same rules, would you consider ERG to be on the same odds in an environment where the stock and management have lost market creditability.

    Signals come and signals go, the choice is yours, if you are colour blind, is the signal RED, GREEN or AMBER.

    In my view this is a balanced assessment of facts, you can choose to take note or you can choose to run the lights, lets hope you cross the intersection.

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