OK Barry: It's a BB stock that trades 2X2 all day long. TRAV is on the bid. There are now 14 MM's that have shown up to play this stock. While some are just flys buzzing around with no capital (some of these smaller firm's traders just can't stay away from volatile trading situations, think of a first name that you might recognize), there are a few wholesalers also making the stock.
The wholesalers have far more capital in their proprietary trading account than the smaller penny stock brokerages like TRAV (in my opinion). However, TRAV can get the boiler room going as well as a few underworld types to throw cash at making the stock move (up)) as they sell their own stock and those of their compadres (again, IMO). The MM's all know what this thing is and play it all day long, mostly 200 shares at a time just to keep in the information flow to know when it will all come tumbling down. It is a voice market that is all trades are confirmed over the telephone MM to MM, with only 200 shares held. To prop up the stock TRAV must stay on the bid. Notice our post of two days ago where the stock fell 9% just because TRAV was no there.
TRAV has done this kind of thing many times and has done it at least once before with Murray (the guy with the mobile home) in EPEA. So, the stage is set. Get the hype going, play the game. I don't think most of the volume is related to this site. It certainly isn't related to any published research. No, I think it is serious boiler room activity. The MM's have seen this hope, wish and prayer stock many times. It's just this time, TRAV has got the spotlight on his activities because of this thread.
Stocks that go public via Form 504, have extremely limited filing requirements. AENG's 504 is filled out by Murray in his own handwriting and the form does not make EDGAR. We have a copy, which anyone can get by calling Disclosure in Washington D.C. or NY. There are no requirements for financial filings. Only insider selling requires a filing. The penny brokers love these deals because they figure they go unnoticed and they think their liability is less.
This is all about to change as the SEC is considering an end to this type of registration method. See CCH's Federal Securities Law Reports dated 5/27/98 (Number 1820) page 2. It is described as Release No. 33-7541. Brian Lane, SEC Dir of Corp Fin is leading the charge.
DOOM awaits this stock... |
