Profits, your response is quite thorough and well thought out.
What I can not figure out though is why so many pundits do not believe that conspiracies can and do exist. Do conspiracies exist? I pound on the table with a resounding yes! Hasn't history told us that when men find it profitable to exploit the general populace they will probably do so. Is it no wonder that Mr. Haines is protecting the establishment that he receives his weekly paycheck from. I mean what else his he supposed to say? Throughout history wealthy powerful men have conspired together or have came together in an almost conscious way to unspokenly exicute their private agenda. Forget about the JFK stories for a moment. The wise say that conspiracies do not exist.
Did not Milken and Boesky find it rather profitable to conspire! Has it been so long since the 80's that people think that organized and unspoken plots and manipulation do not and can not exist.
Although this theory has not been touched on by the financial media, I'm afraid that market manipulation by participants is occuring at a frightening regularity. Next time the WSJ passes before your eyes look through and count how many brokers, dealers and firms are being fined and thrown out. Come on, Neeson lost a billion, Citron lost a billion, Joseph Jett lost a billion, Dawai, Sanwa, Sumitomo copper dealers. In what decade were billion dollar thieves unmasked with such frequency? The 90's will make the 80's look like a couple of guys selling apples underneath a Wall Street buttonwood tree.
Has the public become so numb and dumb that we think ingenious market participants will not manipulate for personal gain? I mean one only has to look at the past month or so and study the occurences in IOMG's stock. An environment in which innuendo's and misleading and false information are implanted by market participants with the help of their friends in the financial media. And when it seems like IOMG is loosing ground in your sleep and is trading in and on another field (instinet). I mean one only has to look at the murky and shadowy cloud hanging over IOMG recently. For example, Barron's every weekend has market personalities giving their buys and sells. If one notices, the stocks with favorable backing surge on Monday and the pans are beat to death. Market participants bid the buys up and the sells down. But this is only a short lived phenomena.
To Joe blow on the street, Barron's looks like
the paper to have since most of the stocks in the pub. get action. This increases circulation which brings in the real money "adverstising". For this favor, market participants are allowed easy and one way access to print space. So, this isn't market manipulation. My hypotesis also comes to the conclusion that most of
the manipulation is occuring at the very highest levels with unimaginable sums. Always remember that manipulation isn't found until the participants can no longer cover or cover up.
It's common knowledge that $1 billion in paper losses have occured during IOMG's stratospheric rise. But these losses are just that paper. The participants or short syndicates can not allow those losses to become realized. They can pony up small sums during margin calls but do not have the whole billion. Throughout history alot worse has occurred for alot less money! So tell me, do you think conspiracies do not exist. During the 80's self serving participants
conspired to manipulate and conspire to establish themselves as new billionares. The 90's manipulaitons are much more rampant and wide spread than anything in the 80's.
Your comments on Mr. Berman's statements becoming reflexively reinforcing is perfectly accurate, but most people do not understand the implications. What alot of shorts do not understand is that a
Boom/Bust sequence can work in the opposite direction as well.
1. A prevailing negative trend and a prevailing negative bias work to
reinforce one another.
2. Negative trend becomes increasingly dependent on the negative bias
and the negative bias becomes increasingly *exaggerated*.
3. The negative bias and negative trend are tested in the market-if survive the relationship becomes unshaken.
4. Divergence occurs between belief (IOMG is overvalued, high PE etc)
and reality (IOMG is experiencing same success with Jazz as with
zip)
5. At some point divergence widens to the break point and negative
belief and bias are revealed.
6. The loss of the belief (IOMG overvalued, high PE) causes reversal
in trend.
7. A trend that is dependent on strong bias tends to crash (shorts)
8. An opposite trend emerges with a bias in opposite direction(IOMG
experience upward bias.) IOMG will enter these phases soon.
Good to chat with you , the WIZ |
