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Gold/Mining/Energy : CDN. MOMO PUPPIES

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To: Lola who wrote (8910)9/25/1999 9:54:00 AM
From: The Osprey  Read Replies (1) of 36688
 
Good strategy Lola with CC.Since they are the largest singular influence over junior markets on Vancouver and Alberta it is always prudent to be making acquisitions as they are to catch the ride with small amounts.Then when the momo pops on the screens and they go to dumtruck mode it is best to be with them dumping or using the trailing stop loss to ensure a fill.
One trick I have seen CC use especially when they have a lot of stock to unload is this:

1)Huge cross is done usually well below current price and then they will buy it up about .10-.15 cents bove the cross while they unload.

2)Once the bulk is unloaded and they have made their money they drop the bid down keeping full control of it with their partners in that stock(be it Yorkton or whichever other house.As this is being done they hold the ask with offers about a .05 spread or so up from the bid.This allows the partners to flip for a nickel or so).

3) This is usually done when they are in a wait mode as they know the company is not ready yet or they are waiting for the hold on some PP stocks to expire.

4)When the insiders indicate they are ready with a PR(which CC knows about before us CC and partner go on the buy prior to the release).

5)CC by then has dumped close to 75% of the position and move the stock up by rewarding the partners in the game and buying their stock as they move it up.It is this point where MOMO shows and the public jumps on board and there is demand so CC runs it up a bit more creating more demand and starts to dump the rest of the position.The partners also unload theirs and the stock moves south.This usualyy takes 2-3 days and hence the three day rule.

6)Once the stock is unloaded to the retail sector there will be some crosses and the second wave begins.This is where CC and the partners go south with the stock on the short side knowing most retail investors cannot short because of short selling policies of the major firms most people use.(Tell me this is fair)

7) Stock seeks a lower level and if there is no credibility to the company or there is something missing to the story and PP participants are all out with their shares and warrants sold and money made the insiders with options that aren't exercised join the shorting fray knowing that as long as the stock does not go below the option strike price they have options they can exercise to cover the short position.(Support is usually found in the stock just above the option level)

8) When the insiders and CC are done and counting all the money they have made they go long one last time on the stock for a few pennies usually and either a nothing news release comes out or the company stock jumps up and a NMC PR(No Material Change Press release) is done after they have sold their long positions and the stock drifts back.

9)If the company has nothing credible we may even see a NR of a consolidation of shares and a name change along with resignations of directors and new CEO's.We may even see a PR or hear from the company they are exploring the possibility of internet related possibilities being explored in which case the company does not do a rollback or share consolidation.

FWIW these have been my observations especially with CC and Yorkton and a few other companies and how they create a market(read manipulate the market) and this is all legal????These are the reasons why I have been so negative about the VSE and ASE of late.But has been said learn to read the signs and buy when they are buying and sell when they start to sell.

The Osprey
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