For better or worse, I was traveling this past week and wasn't able experience all the drama of the Rarus Technologies Inc. (RARS) play this past week. Since getting back though, my research on the stock and it's promotion has turned up some strange results.
I'm sure many of you are frustrated and confused by what has happened since the stock became the next big play on Wednesday afternoon.
The reason that this stock has been trading so unexpectedly is because everyone was expecting the stock to be the new Awesome Penny Stocks (APS) play. If you are unfamilar with APS, this pumper has recently pumped SNPK, NSRS, AWSR (briefly), and AMWI. It is still presently unclear whether RARS is actually an APS pick, thus the lack of strength in the stock.
Before I even move on to explain what is going on in more depth, there is an important lesson to be learned from this. You can never assume that any single play is riskless and deserving of a dangerously high percentage of your account. The people who pay for these pumps make money from other people losing their money, which should serve as a constant reminder to never trust them in keeping a stock up. If the thought "This can't drop too much, its the very beginning of an APS pump!" ever crossed your mind, then you're thinking about this the wrong way. Pump and dumps can provide some great opportunities to make money, but they are also inherently full of risk due to the nature of a pump and dump. If nothing else, RARS should serve as a valuable lesson for risk management in the unpredictable world of pennystocking.
A quick overview of that happened on Wednesday, is that RARS was released by preferred penny stocks, hero penny stocks, and select penny stocks in afternoon trading. In the recent past, these big picks have been released in a rolling release through all APS/CP sister sites over the course of a few hours. In this particular case though, only these few sites released RARS as the pick, while another group of related APS sister sites re-released SNPK as their pick.
As for the more thorough analysis, nothing is completely clear at this point, so I can't promise that my research is free of error. What seems to be the case though, is that RARS should more appropriately be called a Victory Mark pump rather than an APS pick. That being said, Victory Mark seems to be related to APS since they pumped SNPK and NSRS, the last clear APS/CrazyPenny picks. It is possible though that Victory Mark is now a completely unrelated pumper since they pumped these past two stocks differently (different emails bodies, different time frame) than the APS group.
After that first day though, everyone was expecting the APS/CP sites themselves to release the pick overnight. When that failed to occur, the stock gapped down and has since continued to fall. Even now it is unclear whether RARS is going to be released by APS so I would not suggest buying it here. In a situation like this, when things are unclear, it is best to stay away from it altogether. Staying profitable is all about keeping your odds high, and when you gamble in the hopes of making big profits, you may as well throw away your money in a casino.
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