Why stock gets halted and what does that mean to me as an trader?

Quote from jd7419:

Samc i think it is 8/25/00. The stock has split since then but i believe the price at the time was over 100 before the drop.
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25-Aug-00 open 110.69 130.00 43.00 105.75

thx for the memory.
 
i've had it happen a few times where it wasn't good, such as the scam company GENI (halted at 5, opened at like a buck a few months later) where i only had a few hundred on a lark (60 minutes before it was halted in after-hours!), short ARCA right as the NYX news came out (covered pre-mkt next morning when it reopened).

however, there have been a few rinky dinky companies (i was short) that have shot up on pump n dumps , been halted, and usually the company comes out with a "we know of no reason for our stock to be up to the moon" and it craters.

i don't remember which ones they were, because i tend to remember my bad trades more than my good ones.

i'm not a fan of stocks being halted, because as a trader, i want liquidity. when the stock is halted, i'm no longer in any control.
 
Quote from USAtrader:

It means that 9/10 times (always seems to work against your position) you're about to get taken.
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lol. So true. This falls under the 50-50-98 rule.
You have a 50-50 chance of being on the right side and a probability of 98% of being on the wrong side.
 
I've never heard of this (halted)
Can stocks like rimm goog get halted as well?
From previous posts I see this happens with stocks that have bad news.
Is there any way to stay away from stocks that will get halted?

I don't like idea that you don't have the chance to even get out of your postion.
 
Thanks trading monkey
This is not fair to us as traders.
Seems all we can do if we find ourselves in this position is to pray.
 
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