Stock Alerts In The Mail - BEWARE!

It's one thing to receive stock alerts in the mail from a subscription service you may have signed up for, but for many years now I've been receiving these in my mailbox, unsolicited.

On top of that, with today's technology and the internet, why would someone send out a Stock Alert via the mail anyway?

This is exactly one of the things that should be a warning sign to everyone and one of the problems to be aware of which I'll cover a bit more below.

I originally had the name and symbol of the stock I was using in this example, but after thinking about it for a while, I realized that some people would take what I am writing as specific to this stock. That is not the case at all, so I have decided to removed the name and symbol as this could happen to any stock.

For all I know, the company I used on the chart could be a great company that is growing. For this article though, I want to point out what I've seen over and over again, to help make people aware of what can happen.

Here's a chart going back to late December, 2009 when I believe this particular stock started trading as I couldn't find any charts that would go back any further. Besides that, it was just prior to this time that the company changed its name- another potential flag to watch for.

Stock Alerts In The Mail

Sometime last week I received a report with stock alerts in the mail. I've gotten accustomed to receiving these so I don't usually read them anymore, but I do like to save them to see what happens to the stocks later on.

You can see by looking at the chart, that I received the mailing just about at the peak showed on the chart, when prices were over $2.20. I must be on the "suckers latecomer list" though, because It sure looks like previous mailings had gone out which I did not receive.

Catching my eye over the weekend thru today is the 40% plus decline, along with the great research and reporting that Timothy Sykes does for his subscribers. I've said this before on my site here, if you want access to a real time trading alert service that uncovers hyped up stocks as well as legitimate breakout trades, Timothy Sykes offers the best services I've seen so far.

I receive emails all the time with people asking me to teach them how to trade and what stocks are good to buy or sell- this inexpensive service does exactly that. Find out more to sign up here: Timothy Sykes

Back to this example now- as I was reading though my stock alerts in the mail I received, I got to the back page which had an offer to sign up for subscription for $49.95. Then, below that was the disclaimer...

I'm not going to write the whole thing here, but within the first few sentences it said that the publisher had received $480,000 (that's four hundred and eighty thousand dollars) towards the cost of "creating, printing and distributing" the report. HELLO.

Besides that, as I mentioned above also, if I'm receiving this in the postal mail, how many other people already received the same thing via email or over the internet somehow? Surely the odds are against buying into one of these stock alerts in the mail we all receive.

I know that these kinds of stocks can move up by incredible amounts. Just recently I've seen some up over 1000% in a few days. But how would you like to get in at or near the top, and holding it on the way back down to where it came from?

Be careful out there, especially when receiving stock alerts in the mail! Due some due diligence and read any disclaimers before making a decision for yourself.

Return From "Stock Alerts In The Mail" To "Stock Market Commentary"

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