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Playing & Trading Strategy

Right now, it doesn't matter what it's total take is, only opening weekend.

Posted by: ndmaster (a.k.a JonHH) on Dec 11, 07:25 in response to platonm's post Selling stock at the right time

Once it adjusts, based on OW numbers, then the total take over the first four weeks will determine its price until delist. In other words, right now, its total speculation. After delist it is based on actual box office numbers.

The reason Avatar delisted higher and the others lower than adjust is that only Avatar had good "legs", or it performed better over the four week period than opening weekend predicted. This is called the internal multiplier or IM. The adjustment is supposed to give an estimate of where it will delist. If the movie does better than predicted by the formula (2.7*OW), then it will delist higher, if not, it will delist lower. It all comes down to whether or not the movie is front loaded or has good legs.





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