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Message: Re: Painting the tape
4
Jan 28, 2016 04:32PM
5
Jan 28, 2016 04:50PM
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Jan 28, 2016 08:31PM

Narmac, I somewhat agree with some of what you say.....

When you say that there are no interested buyers with any depth to their pockets, I think there's an element of truth to that view. I expressed a similar opinion yesterday after BKC's blog piece, I expressed the opinion that it (in combination with the LSR interview and peer reviewed article) might be driving some interest from the bleacher crowd.....just not much.

But I disagree that there aren't players in the market who will use the levers at their disposal to try and influence and manipulate the market to their general advantage. It happens all the time, conspiracy to defraud investors is one of the most commonly laid charges laid by the SEC in the US.

The market, in my opinion, is designed to convince dumb money retail investors to buy high what the smart money players are selling high. And vice versa when a stock that is poised to make big gains is trading low. Smart money players can't buy low unless there are others willing to sell low. Its a zero sum game, some players get $$$ while others get shares. And dumb money retail players, buy and large, play at a distinct handicap because we are fixated on price. If the PPS is climbing things are good, if the PPS is falling then things must be bad.

Its not that simple of course, few things in life are.

Early Pre market the bid/ask for RVX dropped to (if memory serves) $1.40/$1.40 yesterday......Oh no, the bid ask is down, that must be bad, nobody is drinking the Kool-Ade.....this must be bad.

You don't have to agree, but I think the little bit of demand we're seeing is just the tip of the iceberg. I believe, that under the water lurking...is much larger demand, that isn't going to pop above the water line because if it did, then those holding wouldn't be willing to part with their shares for $1.60, $1.70 or even $2 or $3 and maybe not even for $5.

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Jan 29, 2016 07:23AM
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