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Technology Stocks : Log On America, Inc. LOAX

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To: Mark L. who wrote (274)9/29/1999 6:20:00 PM
From: E. A. Kline  Read Replies (1) of 353
 
How do you play Pump & Dump? Seeking resources...

Anyone know of any good books, internet sites, magazine articles or other sources of information on how stock promotion schemes work?

Specifically, is there something that would shed light on the likely endgame for LOAX, with respect to issues like Dirks' probable strategy for releasing shares: if he releases too many shares too quickly, the price will drop precipitously. Thus, his discretion over the timing of release gives him great power w/respect to the insiders, and pits them against each other, since any successful manipulation that drives the price up in the short term can only benefit a relatively small number of shareholders, (this assumes he releases shares gradually).

Those who get to sell after a successful pump will benefit far more than those who must wait for a later pump, which may not succeed.

Also, how do offshore sales and sales through nominees work? What about short positions held by insiders? Is there a way of researching these to look for indicators they're going on?

The pump & dump game has been played before, and knowing how it's played gives one a leg up in trying to figure out the next move. Can anyone refer me to any good resources on this subject?
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