Chih,
You are very confused about market dynamics. When a huge print occurs, the deal was already put together by a major brokerage house (or the specialist on the floor). The share price will drop or rise to clear out the shares in the way of the print price (remember that this is an auction marketplace), and the big trade is printed. Many floor traders buy prints because they expect to make a quick 1/2 on the reflex rally.
In regards to manipulation, small illiquid stocks can be manipulated on any exchange, but ones like MU are impervious due to the sheer number of traders involved. Trend following by the funds is the key to the big moves. When this whole rally got cooking back in December, it was a huge buy order from Montgomery securities which got it started. They got first word of a price firming, and turned the whole technical situation around (we were sitting on major chart support just under 30).
Yes it does help the bulls to have official earnings estimates notched down. There are way too many wildly bullish statements still around to make me think we hit bottom. When everyone recognizes the fundamental weakness in MU, the stock will find some stability, and I may look for a compelling reason to go long! It ain't in here, however...All the songs in the world will not change that!
Good Luck,
Peter Shaw |
