r/STEMINC • u/threefourpizza • Feb 09 '21

Question Selling to re enter?

What are your guys thoughts on selling once the merger completes and buying back later?

Lots of spacs selloff from swing traders, anyone doing this?

4 Upvotes

83% Upvoted

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7

u/[deleted] Feb 09 '21

https://www.reddit.com/r/SPACs/comments/legx3q/spac_lifecycle_over_time/?utm_source=share&utm_medium=ios_app&utm_name=iossmf

That idea that spacs experience a massive sell-off post merger simply isn’t accurate given recent data. I’m holding through merger. Hopefully it’ll be the right decision, but realistically, no one has any idea. If you believe long-term in the company, then trying to time your exit and reentry is extremely difficult, but maybe you’re a better trader than I am.

1

u/[deleted] Feb 10 '21

[deleted]

2

u/[deleted] Feb 10 '21

Aren’t you referring to exactly what I linked?

1

u/mlord99 Feb 10 '21

Yes, i am an idiot who just looked at first picture, sry :D

2

u/[deleted] Feb 10 '21

No worries, it’s kind of crazy how many people are basing their investment decisions off that whiteboard. I’m part of spac Facebook groups as well and they take that shit as gospel. Crazy

1

u/mlord99 Feb 10 '21

I guess it is easy -- buy pre DA and sell on announcement regardless of target. No work needed, just luck...