No. of Recommendations: 4
I bought some FB on the afternoon of IPO day. Then close to the end of the trading day (regular trading), I noticed a hard stop at 38 ... someone (obviously the underwriters) had massive bids at 38 to keep the price at or above the IPO price. That scared the heck out of me. I mean really scared, I never use market orders (obviously!), but this time I did - there were only a few scant minutes left and I wanted OUT. I sold every single share and ended up making the equivalent of a cheap bottle of scotch :-)

And I [re]learned my lesson - DON'T BUY IPO's. An IPO, especially this kind* of IPO, is the end trade for someone. And that someone is usually an insider or very close to being an insider and knows a LOT more than I do. And if they are selling, why should I be buying? Better to wait and see, might miss a pop, but so what? I miss pops in various things every day.

* "this kind" meaning that the company didn't really need to raise funds, it IPOed mainly because early investors were pressuring it to do so.
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