Saturday, June 7, 2008

The Art of Stock Manipulation

Recently came across a interesting article from George Chelekis about his view on stock manipulation. It is quite interesting as it highlight the 10 rules from "The Market Invisible Manipulator" to make money out of retail investors esp for penny stocks.

Rule 1 : All Sharp Price Movements (Whether Up Or Down) Are The Result Of One Or More Professionals Manipulating The Share Price

Rule 2 : If Market Manipulator Want To Distribute (Dump) His Shares, He Will Start A Good News Promotional Campaign.

Rule 3 : As Soon As The Market Manipulator Has Completed His Distribution (Dumping) of Shares, he will Start a Bad News or No News Campaign

Rule 4 : Any Stock That Trades Huge Volume At Higher Prices Signal The Distribution Phase

Rule 5 : The Market Mnipulator Will Always Try To Get YOu To Buy At Highest And Sell At Lowest Possible Price

Rule 6 : If This Is a Real Deal, Then You Are Likely To Be The Last Person To be Notified.

Rule 7 : Conversely, You Will Be often The Last To Know When This Deal Shows Signs of Failure. (Beware of MOU)

Rule 8 : The Market Manipulator Will Compel You Into Stock So That You Will Drive Up Its Share Price Via Volume.

Rule 9 : The Market Manipulator Is Well Aware of Trading Emotions (Fear & Greed)

Rule 10 : The Big Boys Aka The Bankers Always WIN...