I thought I'd throw these excerpts and this link out there for you folks to consider.
hot-stocks.com:80/essays_html/deadly.html
Excerpts from "THE DEADLY ART OF STOCK MANIPULATION...."
"...RULE NUMBER THREE: AS SOON AS THE MARKET MANIPULATOR HAS COMPLETED HIS DISTRIBUTION (DUMPING) OF SHARES, HE WILL START A BAD NEWS OR NO NEWS CAMPAIGN."
Your favorite home-run stock has just stalled or retreated a bit
from its high. Suddenly, there is a news VACUUM. Either NO news or
BAD rumors. I discovered this with quite a few stocks. I would get
LOADS of information and "hot tips." All of a sudden, my pipeline was
shut-off. Some companies would even issue a news release
CONDEMNING me ("We don't need 'that kind of hype' referring to
me!). Cute, huh? When the company wanted fantastic hype circulated
hither and yon, there would be someone there to spoon-feed me. The
second the distribution phase was DONE....ooops! Sorry, no more
news. Or, "I'm sorry. He's not in the office." Or, "He won't be back
until Monday."
The really slick market manipulators would even seed the
Internet news groups or other journalists to plant negative stories
about that company. Or start a propaganda campaign of negative
rumors on all available communication vehicles. Even hiring a
"contrarian" or "special PR firm" to drive down the price. Even hiring
someone to attack the guy who had earlier written glowingly about
the company. (This is not a game for the faint-hearted!)...."
"RULE NUMBER FIVE: THE MARKET MANIPULATOR WILL ALWAYS TRY TO GET YOU TO BUY AT THE HIGHEST, AND SELL AT THE LOWEST PRICE POSSIBLE."
You will get the first clue that "you have been had" when the
stock stalls at the higher level. Somehow, it ran out of steam and you
are not sure why. Well, it ran out of steam because the market
manipulator stopped running it up. It's over inflated and he can't
convince more people to buy. The volume dries up while the share
price seems to stall. LOOK AT THE TRADING VOLUME, NOT THE SHARE
PRICE! When earlier, there may have been 500,000 shares trading
each day for eight out of 12 trading days (as in the case of Software
Control Systems), now the volume has slipped to 100,000 shares (or
so) daily. There are some buyers there, enough for the manipulator
to continue dumping his paper, but only so long as he can enlist one
or more individuals/services to bang his drum.
He may continue feeding the promo guys a string of "promises"
and "good news down the road." (Believe me, this HAS happened to
me!) But, when the news finally arrives, the stock price goes THUD!
This is entirely orchestrated by a market manipulator. You'll see it in the trading volume, most of which is CONTRIVED. A market
manipulator will have various brokers buying and selling the stock
to give the APPEARANCE of increasing volume and price so that YOU
do start chasing it higher.
At some point during the stall stage, investors get fed up with
the non-performance of the stock. It drifts for a while, in a steady
retreat, with perhaps a short-lived spike in price and volume (the
final signal that the manipulator has finally offloaded ALL of his
paper). Then, the stock comes tumbling down -- having lost ALL of
the earlier share appreciation.
Sometimes, with the more cruel manipulators, they will throw
in a little false hope... giving you a little more rope so they can better hang you. Just after a severe drop, there will be a "bottom fishing" announcement which sends the share price up a bit on high volume, rises a little more after that and then continues to drift. Meanwhile, you keep getting "shaken out" through a cruel drip-drip water torture of the share price's slow retreat. Again, virtually every movement is completely orchestrated.
"....RULE NUMBER SIX: IF THIS IS A REAL DEAL, THEN YOU ARE LIKELY TO BE THE LAST PERSON TO BE NOTIFIED OR WILL BE DRIVEN OUT AT THE LOWER PRICES."
Like Jesse Livermore wrote, "If there's some easy money lying
around, no one is going to force it into your pocket."
.... NOW when he sees that this deal IS for real, he wants to pay as little as possible for those same shares... YOUR shares which he wants to you part with, as quickly as possible.
The market manipulator will shake you out by DRIVING the price as low as he can. Just as in the "accumulation" stage, he wants to keep everything as quiet as possible so he can snap up as many of the shares for himself, he will NOW turn down, or even turn off, the volume so he can repeat the accumulation phase...."
What do you folks think? |
