The dark side, which forever works to cloud the thoughts of the weak minded, continues to spew speculative nonsense about the trading mechanics in the penny scum swamp in order to spin their deceit and lies and call it "ethics". They just cannot seem to admit that the penny scum swamp is primarily run by crony market makers and manipulators of whom are likely their employers, not the management of these OTC/BB companies. There are many cases of CEO's and management teams intentionally manipulating the stock of their own company and diluting without much of any business at all, and those instances serve to confuse and bring doubt to the matter of stock manipulation. The shady 24/7 bashers though will declare as a certainty ("100%") that if you observe certain trades on the tape or in a certain scenario of market dynamics that it is guaranteed dilution by management at work. This is a farce.
Most of the time, in the penny scum swamp, there exist multitudes of shady groups and individuals of whom have the leverage to influence the stock entirely and completely for an extended period of time and they do, because they can and they attempt to profit off of this control, regardless of what management is doing in terms of dilution (which, by the way, is a given in most if not all penny stock companies). These anonymous internet posters will rant and rave for days, weeks and months attempting to convince you that any downward selling pressure on the stock is necessarily directly from constant and unabridged dumping of "free trading shares" into the open market by and for company executives, all the while zero actual corporate business is going on. There are certainly cases of this in the past and so there do exists scam companies, however that fact does not necessarily mean that every instance of downward price pressure and the presence of T-trades signals that the company is engaging in rampant dilution. All we really need to know to find out how much dilution has taken place is keep apprised of the O/S figures which can be obtained on demand by calling the transfer agent or else wait for regular updates of those figures on certain websites; the information is readily available to all. We can keep track of these figures and back calculate (once we have up to date numbers) what the degree of the dilution was during that period of time. Typically the absolute dilutive effect does not really make up for the "action" in the PPS swings and T-trades we see in the stock over time. The "company dilution" agenda is touted by many if not all of the online paid bashers and it is rather amusing because most if not all of the explanations they reference are merely posts by other anonymous internet message board posters. The fuzzy logic and nonsense they spew is laughable. Consider...
|sources|
http://regsho.finra.org/FORFshvol20130918.txt
http://www.otcbb.com/asp/tradeact_mv.asp?Sear...h=8-1-2013
||
20130918|RFMK|1446666|0|18873526|O -- 7.67%
09/18 0.0004 13863542
...
20130917 -- 0 (NO SHORT REPORT) -- 0%
09/17 0.0004 8000000
...
20130916|RFMK|1970000|0|25063472|O -- 7.86%
09/16 0.0004 14960000
...
20130913|RFMK|1640713|0|7366304|O -- 22.27%
...
etc etc etc...
So as we can see just taking a look at the most recent T+3 window of time in the tape, there has been entirely insufficient daily
shorting to account for the thesis (the erroneous assumption) that the T-trades we have been witnessing is somehow necessarily
MM's covering all of the alleged short sales they made during the day via using an supposed supply of shares from an alleged massive diluter
to short against. And what is worse is that the FINRA daily short figures above do not even show the TOTAL VOLUME for the day, the extra volume from the
T-trades are not even accounted for in those numbers. If they were, the total volume would be even higher. The data row following each FINRA entry shows the "large" T-trade which was printed after-hours on that day. You will notice that the numbers do not add up. In other words, the T-trades
do not suggest anything whatsoever, this way or that. For instance, on Sep 17th, there were ZERO shorts, yet there was an 8M "trade" printed as a T-trade.
By the way, RFMK has a DTC Trade-for-trade "chill" placed upon it which effectively means that no shorting (in the traditional sense) is able to be done. Only settled cash for settled shares, so no participant is shorting against an alleged supply of shares to sell to retail and then covering each day or at the end of T+3. Each trade must be a trade for settled cash for settled shares, or vice-versa. Now there is an exception, MMs can SELL shares (marked as long) and then never deliver those shares; otherwise known as naked shorting. This is clearly illegal; selling that for which you do not own or did not properly borrow. However firms still engage in this illegal criminal act every day in the market place. We know this because they are getting caught by FINRA and the SEC every single month and getting slaps on the wrist (fines) for massive shorting campaigns and not properly reporting their short book to FINRA, etc. I am not saying the kind of mechanics they describe do not happen, actually they happen frequently in the market, however, just based upon 8M or 14M or even 30M volume T-trades, we cannot with a certainty declare that it is the company diluting. Gain some perspective from the fact that even 30M shares traded is roughly 1% of the shares in the company and at the current price represents about $15,000 in capital, which by most standards of the market making firms, is really hardly anything actually. The fact is, what is also rampant in the market is daily dump and pump naked shorting manipulators and I have pointed their mechanics out in real time to all in the past.
Basically, as RFMK is concerned, NITE and ETRF are the primary market makers by volume.
Year to date other MMs have done less than 25% of the volume the two lead MMs have executed
Not to mention that one cannot just label a certain list of MMs as serial diluters. They can ALL possibly
get business from an issuer, yet some will tell you that if VFIN or some other MM ID is on the tape with a large ASK then
it is certainly dilution. This is no more ridiculous than touting that certain MM "signals" mean certain things.
You must unlearn what you have learned. Critical thought is in short supply these days, it seems.
Some are convinced they see patterns in the stars so they sketch out constellations and other
pictures in their minds so they can try to make sense of it all but really there is simply insufficient data to make a declarative
hypothesis in this regard. BWTFDIK , right??
Hope this helps...
The dark sides clouds everything. You must unlearn what you have learned.
$ RFMK
Most of the time, in the penny scum swamp, there exist multitudes of shady groups and individuals of whom have the leverage to influence the stock entirely and completely for an extended period of time and they do, because they can and they attempt to profit off of this control, regardless of what management is doing in terms of dilution (which, by the way, is a given in most if not all penny stock companies). These anonymous internet posters will rant and rave for days, weeks and months attempting to convince you that any downward selling pressure on the stock is necessarily directly from constant and unabridged dumping of "free trading shares" into the open market by and for company executives, all the while zero actual corporate business is going on. There are certainly cases of this in the past and so there do exists scam companies, however that fact does not necessarily mean that every instance of downward price pressure and the presence of T-trades signals that the company is engaging in rampant dilution. All we really need to know to find out how much dilution has taken place is keep apprised of the O/S figures which can be obtained on demand by calling the transfer agent or else wait for regular updates of those figures on certain websites; the information is readily available to all. We can keep track of these figures and back calculate (once we have up to date numbers) what the degree of the dilution was during that period of time. Typically the absolute dilutive effect does not really make up for the "action" in the PPS swings and T-trades we see in the stock over time. The "company dilution" agenda is touted by many if not all of the online paid bashers and it is rather amusing because most if not all of the explanations they reference are merely posts by other anonymous internet message board posters. The fuzzy logic and nonsense they spew is laughable. Consider...
|sources|
http://regsho.finra.org/FORFshvol20130918.txt
http://www.otcbb.com/asp/tradeact_mv.asp?Sear...h=8-1-2013
||
20130918|RFMK|1446666|0|18873526|O -- 7.67%
09/18 0.0004 13863542
...
20130917 -- 0 (NO SHORT REPORT) -- 0%
09/17 0.0004 8000000
...
20130916|RFMK|1970000|0|25063472|O -- 7.86%
09/16 0.0004 14960000
...
20130913|RFMK|1640713|0|7366304|O -- 22.27%
...
etc etc etc...
So as we can see just taking a look at the most recent T+3 window of time in the tape, there has been entirely insufficient daily
shorting to account for the thesis (the erroneous assumption) that the T-trades we have been witnessing is somehow necessarily
MM's covering all of the alleged short sales they made during the day via using an supposed supply of shares from an alleged massive diluter
to short against. And what is worse is that the FINRA daily short figures above do not even show the TOTAL VOLUME for the day, the extra volume from the
T-trades are not even accounted for in those numbers. If they were, the total volume would be even higher. The data row following each FINRA entry shows the "large" T-trade which was printed after-hours on that day. You will notice that the numbers do not add up. In other words, the T-trades
do not suggest anything whatsoever, this way or that. For instance, on Sep 17th, there were ZERO shorts, yet there was an 8M "trade" printed as a T-trade.
By the way, RFMK has a DTC Trade-for-trade "chill" placed upon it which effectively means that no shorting (in the traditional sense) is able to be done. Only settled cash for settled shares, so no participant is shorting against an alleged supply of shares to sell to retail and then covering each day or at the end of T+3. Each trade must be a trade for settled cash for settled shares, or vice-versa. Now there is an exception, MMs can SELL shares (marked as long) and then never deliver those shares; otherwise known as naked shorting. This is clearly illegal; selling that for which you do not own or did not properly borrow. However firms still engage in this illegal criminal act every day in the market place. We know this because they are getting caught by FINRA and the SEC every single month and getting slaps on the wrist (fines) for massive shorting campaigns and not properly reporting their short book to FINRA, etc. I am not saying the kind of mechanics they describe do not happen, actually they happen frequently in the market, however, just based upon 8M or 14M or even 30M volume T-trades, we cannot with a certainty declare that it is the company diluting. Gain some perspective from the fact that even 30M shares traded is roughly 1% of the shares in the company and at the current price represents about $15,000 in capital, which by most standards of the market making firms, is really hardly anything actually. The fact is, what is also rampant in the market is daily dump and pump naked shorting manipulators and I have pointed their mechanics out in real time to all in the past.
Basically, as RFMK is concerned, NITE and ETRF are the primary market makers by volume.
Year to date other MMs have done less than 25% of the volume the two lead MMs have executed
Not to mention that one cannot just label a certain list of MMs as serial diluters. They can ALL possibly
get business from an issuer, yet some will tell you that if VFIN or some other MM ID is on the tape with a large ASK then
it is certainly dilution. This is no more ridiculous than touting that certain MM "signals" mean certain things.
You must unlearn what you have learned. Critical thought is in short supply these days, it seems.
Some are convinced they see patterns in the stars so they sketch out constellations and other
pictures in their minds so they can try to make sense of it all but really there is simply insufficient data to make a declarative
hypothesis in this regard. BWTFDIK , right??
Hope this helps...
The dark sides clouds everything. You must unlearn what you have learned.
$ RFMK
