KM - I'm with you on this one. MMs do often take out stops, on an intraday basis, and play games at the open/close. But there is this myth out there, that MMs, "institutions" and assorted bogeymen often take a stock and drive it down for a long time "to accumulate shares cheaply" ahead of some "great news". This is often the excuse you hear from longs who don't understand why their beloved stock keeps declining relentlessly. I found the opposite to be true. If there is indeed good news ahead, the stock "inexplicably" *appreciates*!!! Then the news comes out, and it becomes clear WHY it was appreciating. Meanwhile, NOT ONCE - at least in my experience - has it happenend that the stock steadily declined "due to MM etc. manipulation" ahead of *good* news. The news comes out, and it is BAD, just as the TA told you it would be. Now, maybe NITE will be the exception this time, so we'll see. But if I were to go by history, I'd say, when you see a stock behave badly - bail, the earlier, the better.
Morgan |
