In the "couda, wouda, shouda" department...

Most investors who stayed the course with DNDN yesterday, and did NOT put any stop market orders in place turned a profit, averting a total disaster by not having shares sold away to market makers looking to take out nervous retail investors.

But this was a "black swan" scenario that I did brainstorm--but did not carry out in practice, because I stupidly didn't think a bear raid of that magnitude would happen.

I could have purchased more shares cheaply by placing a good till canceled (GTC) limit buy order (usually good for 30 days) at $7.50, $10, $12.00 etc, or wherever I thought it might drop to. I actually brain stormed every scenario, even selling puts (buying at the strike price), but decided against it as I didn't think it would happen.

Another stupid non-decision on my part, because that's exactly what happened.

But to reiterate: always use limit orders, whether to buy, sell, or stop loss...always, especially in volatile markets. When implementing a stop loss order, do not tell your broker what your price is, and always use a stop limit order if you're going to put in a stop loss. A few readers of my blog have already told me this piece of advice has already saved them thousands of dollars.

NASDAQ investigating

Share of DNDN dropped 45% before being halted--prior to their announcement of Provenge results at the AUA. NASDAQ allegedly launched an investigation, according to CNBC. This is an obvious case of stock price manipulation, and some parties will be prosecuted--probably short-sellers looking for an escape from losing positions.

Investors/traders with stop loss orders got taken out--at much lower prices than they planned, and will have legitimate complaints. Whether they can recoup their shares or money is yet to be determined, but this only validates what I have been reiterating all along: never, ever tell your broker what your stop loss limits are--you will be taken out of your position by unscrupulous market makers and large funds. Keep the stop loss in your head. There are numerous stop loss orders, including stop-limit and stop-market orders which you should be aware of, but I will never tell them to my broker, despite conventional wisdom claiming stop-loss orders are necessary for risk management. Often, stop loss orders are disastrous, as today's action in DNDN painfully illustrated.