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To: I Am John Galt who wrote (1613)12/31/1997 1:28:00 PM
From: Syd Deem  Read Replies (1) | Respond to of 1702
 
Don't mean to be argumentive but just for discussion sake;
Why would the price pop up if it was market manipulation? If this is manipulation would not the manipulators have held the price down as they bought their shorted shares back to maximise their profits? The price ran up with the buying then rolled over. If I had been a buyer yesterday or this morning with a short term gain of 40% I would be thinking of taking that gain also (that is if I could react that fast!!)



To: I Am John Galt who wrote (1613)12/31/1997 3:00:00 PM
From: hoffy  Read Replies (1) | Respond to of 1702
 
<<<<Alerted to volume? Heh... this is low in comparison to the last few months, sir.>>>
True this is low volume compared to some days but with most of the traders on vacation this volume is actually very big.

<<<If you look back at your historical charts, there is a huge amount of shares exchanging hands on days where the thing goes up by less than a half a cent. My guess is that these purchases today were shorters buying back shares.>>>
I don't know if this is necessarily true. With few people around any big buys (which happened today) can move a stock greatly. It doesn';t have to mean any more than that.

<<<They're trying to get out of shorting this company with a gigantic gain. And so they beat the stock down to a new 52 week low. My guess is that it will go back down to .18 and then we'll see another popup.>>>>
Most of these small stocks are greatly shorted by the market makers and they generally make a killing on them. Many of these companies are just shells of a company and have not much of a chance of surviving. Then with the shorting that they do the stock never has a chance to go anywhere. The only ones that do eventually make it are the ones where the company can actually sell their product effectively and make some money. Probably only 1 in 5 do that. And I agree with you that even with the stocks that do make it, the market makers try and drive the price down and then they cover so they don't get killed. Sometimes that works but once in a while you'll see a company with good news realy spike up and that's because they can't cover fast enough and too much buying is coming in.

<<<That's a clear indication of market makers buying back shorted shares>>>

I don't know how you determined this. Can you explain?.

<<<<Some market maker somewhere made a shitload of money off of us, people.
And there isn't a goddamn thing we can do about it.>>>>

This usualy happens with these small companies. But you can make a S**tload yourself if you can pick the right ones and don't buy into a panic or sell into one either.

Just some of my comment s and opinions