And the daily massive short selling and coveringÂ
Post# of 11899
And the daily massive short selling and covering continues to game puny retail buyers.
20120724|RFMK|1055000|0|2304499|O
While the short sales were about half of the intraday volume, one must realize that the likelyhood is that those short sales were covered on the same day (buys to cover), which means that roughly 2.11M shares were involved in the usual shorting and then covering scheme by the MMs. This only leaves about 190k that were actually bought and sold normally. This means that the daily RFMK market for shares only has a monetary capacity right now of about $228. This means that one or two small retail buyers snapping up some cheapies here and there using a few hundred dollars is overwhelmed by a few thousand dollars ($2,532) of MM trading in order for them to attempt to make their daily lunch money. This is a very sad state of affairs and partially explains why the volume is so light right now and the PPS is so low and the manipulation is so rampant. If buy side volume does not move up soon we should all expect for the PPS to keep sliding down into triple zeros. The MMs probably have many hundreds of thousands of dollars they are willing to risk attempting to keep this stock bottled up for their own controlling motives.
I estimate about 50M+ intraday buy side volume, equivalent too over $100,000 in buying would be needed to force the PPS up past the 200 day MA. I would assume that if buy side volume was up to close to about 100M shares then the MMs perhaps would just step back and let it run and make money all the way up on a tight spread, as what is usually done, instead of this tired old game of shorting every small bid that comes in and dragging the PPS a tick lower so as to attempt to cover on scared sellers, and if none come out to dump they buy back at unchanged from their MM friends. I guess we will see what happens over time.
GLTA!
$RFMK!