During the 2008/2009 crash I found stocks that were oversold and bought. If they dropped further I bought more. And when they dropped again bought again. Peyto, RioCan, RBC, Cathedral Energy, Arc Resources, Russell, Vermillion.. Made a lot of money that way.
Bought PSN after the crash at $4.65, more at $4, even more today at $3.48. This is not SinoForest. There is a real company with real assets and a decent business here. It is a very young company and growing as quickly as they were they made some mistakes which have become obvious in hindsight. But I am confident that they've learned their lesson - the hard way..
The shortselling on this one has been ugly - but it will run its course and then look out!