Dragni Dragnev

America Resources Exploration Inc (OTCMKTS:AREN) Is Back With A Vengeance

by Dragni Dragnev September 23, 2015

America Resources Exploration Inc (OTCMKTS:AREN) is back in the spotlight, registering an upward movement of no less than 52.63% in yesterday's session.

Evidently, some investors didn't get burned enough the first time around, and are eager for more. Alternatively, this time the pumpers sent their e-mails to a whole new batch of eager and opportunistic traders, to repeat the same old song over again. Or said investors were swayed by talk that this is an “excellent entry point” and that “the stock will bounce once more, to at least 0.7”.

Whatever the reason for yesterday's jump, its percentage was formidable, even if its dollar volume wasn't really impressive. But that is to be expected from a dead cat bounce.

And it really does seem like AREN is currently performing like the proverbial deceased feline – it fell from a great high, it struck the metaphorical pavement hard, and then headed up for a while. But will this state of affairs last?

That does not seem likely for one simple reason – AREN does not appear to have anything of value that it can really offer to committed investors in return for their support.

Its name and credibility is ruined by the pumpers. Its financials are a shambles. It has vast amounts of toxic debt. What more needs to be said on the matter?

Well, evidently some people are still trying to make money from trading AREN stock – and yesterday, some of them might well have succeeded to do just that. But, make no mistake - playing this particular dying pump is extremely precarious.

With this in mind, let the buyer be ware.

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