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Firefish Inc (OTCMKTS:FRFS) Keeps Delivering Gains

Firefish Inc (OTCMKTS:FRFS) Keeps Delivering Gains
Written by
Jarrod Wesson
Published on
February 22, 2018
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Firefish Inc (OTCMKTS:FRFS) is exploding up in the charts again. The market is pushing up the share price, as more information about its incoming merger with Gifa Inc. is revealed. Company Acquiring FRFS - Firefish Inc OTCMKTS:FRFSWe commenced writing about this micro-cap when its share price was $0.01. It is currently trading at $0.07 per share. Don't get the calculator. Only keep in mind that these are double-digit returns. Have a look at the recent share price action, and form your own opinion: 2 month chart for FRFSFor those who need a little catch-up, Gifa Inc., a company from Turkey, is supposed to be acquiring FRFS. The market is repeating the same pattern again and again. Some seem to have learned and are making good returns. First of all, we got to know about the first document that put together GIFA and Firefish, Inc. It created the first market reaction, which we explained in a first piece. Then, some months later, Market learned about a new building in Nicosia as well as 300 employees, which made the share price spike up.In this piece, we will explain the new information released, not by the company, but once again on iHub. Read the following carefully.What's going on now?Right after we released our first article, we found the following document. It was posted, as usual, on the iHub Forum. As we have noted on many occasions, the market participants should not give credibility to the documents uploaded on the social media. They can be easily doctored. It is critical to receive the information either from the OTC Markets or from the company directly.In this case, we decided to include it since it created a market reaction. Around the time when the document was posted, the share price jumped from $0.02 to $0.06. Have a look: Document from Gifa Inc. - Firefish Inc OTCMKTS:FRFSWhat's the document? It is an email from the Office of Nevada Secretary of State noting that Gifa is in good terms with the regulators. It means that Gifa is ready to do business in Nevada. We need to repeat again the following. In order to give proof of the acquisition, the OTC Markets should release information noting the transaction. Market participants expecting to buy on the rumor and selling with the news are warned. It may not work on this name.Is there more information?Yes, some weeks later, another iHub post revealed new developments. It seems to be the information that created most recent share price volatility. Have a look, and form your own opinion: Change in the ISIN system - Firefish Inc OTCMKTS:FRFSWhat's the ISIN? The ISIN, International Securities Identification Number, is a way of uniquely identifying a security. The information provided shows that the name associated with the ISIN is "Gifa Inc." It is another great step in the merger with FRFS. The market reaction seems fair. But, readers need to do their own due diligence and verify the document entering the CUSIP website.The Caveat Emptor signalIn December 2017, the OTC Markets designated FRFS as "Caveat Emptor". It does not really worry us. Many other securities have been flagged with these symbol before they became well-known. Additionally, FRFS seems focused on the merger with Gifa Inc. and did not have the time to contact the OTC Markets. Furthermore, the exchange warned about the lack of information provided by FRFS: FRFS Pink No Information - Firefish Inc OTCMKTS:FRFSIf FRFS uploads its most recent financial statements, the symbol will be removed. Be sure to follow developments in this regard. Many times after the "Caveat Emptor" is removed, the market pushes up the stock. The reason behind this behavior is that many more market participants are interested in the company, which increases the liquidity in the market.Check the Social MediaAssessing the social media is becoming quite critical for most stocks, but in this case, it is mandatory. Every day more and more comments are posted on this ticker. This frenetic activity shows two things. First of all, the company is becoming quite popular, which is good for the longs. Furthermore, many more people assess the developments of FRFS. Thus, the price discovery process is not expensive and the new information is quickly incorporated into the price.Check the large number of commentaries on the iHub forum: iHub Social Media - Firefish Inc OTCMKTS:FRFSConclusionCurrently trading with a market cap of $8.9 million, FRFS is interesting story among small caps. There are 8.9 million shares outstanding, and the float is not given in the OTC Markets. However, according to the last company reports, there are shareholders owning a large number of shares on this name. This means that the market is expecting a lot of volatility on this name. For lovers of volatility strategies, this is a new name to study closely.To sum up, if you are looking for an adrenaline ride, FRFS is a must-follow stock.Be sure to check out our coverage on FRFS!We will be updating our subscribers as soon as we know more. For the latest updates on FRFS, sign up below!Disclosure: We have no position in FRFS and have not been compensated for this article.Image courtesy of CreditDebitPro.com

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