To: allen v.w. who wrote (8693 ) 1/27/1999 12:59:00 AM From: ztect Read Replies (1) | Respond to of 40688
In regards to the stock's trading activity... ==================== I received the following email.... ================== ztect I am confused about this stock and have been pretty bummed out about it for the past 3 months. I am not a member of SI but I read the posts. Could all the volume the last few days be brought on by people owning all the new shares in the float ( that they got for .20) and dumping it all on this news ( wasn't there a bunch of stock given to people at .20 as payment for services to PNLK?? if so what better timing then now for pnlk to bring out good news to get people to jump in on this news and then the people holding these .20 stocks make a killing and are now happy as PNLK has rewarded them for there services. I truly believe the one thing that is hurting the stock holders of PNLK has been the extra shares they have dumped into the float this past year. I am probably a little sore about this since I was one of the guys who got in around 3 last year and hate losing I really think this company is going to make it but I just dont understand when ever there is an anouncement and you hold the stock really goes nowhere, the reason I suspect that a lot of new shares were thron out into the open market is by the huge 8 mil volume the past couple days now watch volume will die down and the stock will slowly trickle back down to one,,,,,,,,,,,, nay thoughts ?????????????? also thanks for your DD on this stock and good luck in it Rxxxx ====================================== This was reply to his post and "my theory" on the trading activity ========================================== Rxxxx: Volume bothered me a lot too.....but think this may have too do more with "churning" to give the impression of volume. However, rather than the typical "churn" which are transactions between mm's...this churn may be the consequent of the accumulation and shorting of shares by coordinated parties colluding on their buys and sells to manipulate the spread(especially by individuals who can both "after hour trade" via the instanet in large blocks and short via Canadian accounts).This is always why I keep both core and trading positions....so I can trade to cover my "cost" and, therefore, get to play primarily with the "house's money" Anyway, this arbitrage trading...makes me wary of any opening gap over 20 to30% which some poor sucker always buys into......Someone sees the volume and the prior day's rise...and then runs to "catch the proverbial train" before it "leaves the station"....only to get suckered into a high buy-in price, that if they had only waited an hour longer, they could have bought in cheaper...This is called a "sucker's gap" PNLK will recover...and go higher...but will also be highly susceptible to manipulation until after Version 3.0 is released, the company is fully reporting, and large membership numbers are announced. However, those waiting. for these events to happen, will have to pay much higher share prices than people who bought in at levels as high as three or four dollars..... in my opinion... See fourth item in the Gulag entitled "When To Sell That Great Internet Stock?" for explanations on "cost" and the "house's money" Click link to visit fourth item in the Cyberian Gulag Message 7448924 from the warden of the Cyberian Gulag ztect PS....these correspondences will be posted on SI