VOIP PAL.com, Inc. (PINK:VPLM) had some serious promotion-fueled spikes back in the first half of 2011. It is promoted for today, but the compensation may scare off traders.
The promoter, TheSUBWAY.com, sent out an alert on VPLM last night. An unnamed third party paid for the pump with 10 million free trading shares, and this may have a negative effect on the market reaction to the alert.
VPLM has been closing flat at $0.011 the last four sessions, but in the last three the closing price seems to have been just for show. Yesterday, 120 thousand shares were traded, but more than 90% of those were traded below $0.006.[BANNER]
The company itself hasn’t issued any press releases since December when it announced an antivirus program for smartphones and tablets was available.
VPLM isn’t a brand new company, but it’s still in the development stage and generates insignificant revenues.
Keeping all that in mind, there’s still a chance the promotion could work, but traders should consider the situation VPLM is in and the fact that the compensation is in free trading shares, before they decide what to do.
