Market Manipulation Vs. Real Stocks, Guess Which Offers More Predictable Profits!
Gotta start the fun off by featuring the chart of the manipulation scheme du jour, CVSC (no need to detail the company; whoever’s promoting it doesn’t care, so neither should you!)
Notice how each day now the daily gain is getting larger right alongside the trading volume—methinks a blow out is coming sooner rather than later, in a similar fashion to the blatant manipulation schemes of Christmas’ Past
But, then again, it doesn’t have that far to fall…yet, so hopefully this promoter is as cunning as Roger Clemens–meaning he has the will to cheat for the long run–and concoct a chart like this:
Back in real stock land (boooooooooo!), I def. wanted to short LULU’s $4+ gain at the market open—‘twas only up so much cuz some ANALyst said blah blah blah, squeezing the shorts—hardly any chance at holding a 20% move without dropping a little considering the collapse over the past few days leads many longs to sell into any bounce. Unfortunately, no shares available to short, strange for such a large company, $2 drop before 10am made me cringe, but it coulda woulda shoulda just been a quick scalp as the stock finished stroooooooong.
Another stock in a nasty multi-day downtrend, COIN, caught shorts off guard at the open, spiking $1+. Not surprisingly, no shares available to short. $1 drop before 10am—same pattern due to dip buyers taking profits, bitter investors in at higher price cutting their losses—all very much predictable, but also not a big move, as the stock came back. Actually looked like a potential buy late in the day as it broke the morning highs, but it failed to breakout more than 5 cents, aka a double top, as there was a wall of sellers at every turn (why I prefer buying only into pure breakouts to new highs)
And in retrospect, I coulda woulda shoulda bought any of these falling knives I posted HERE last night, but even in today’s ideal up market I’d mostly be up 20-40 cents/share on each of them—which due to my pathetic timing skills wouldn’t leave me much room for high probability profits. Good avoidance. I won’t even post their charts cuz I don’t wanna set a bad example for you kids out there.
TIM Lesson: There are both small predictable moves and large ones, focus on large moves—less headache, better risk-reward, bigger gains, more spare time, aka don’t become a scalper like Uncle Timmay! (considering that while I’ve gotten better at focusing on the big gains, I still take infantile gains—gotta get better if TIM has any shot at the big-time)
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- 7 Low Priced Microcraps Creeping Their Way Higher | Timothy Sykes - Stock Trader, Author, Entrepreneur
- In The Stock Market, Trust No One And No Company Cuz They’re All Sh@#! | Timothy Sykes - Stock Trader, Author, Entrepreneur
- Manipulated Stock Chart Of The Day: Kentucky USA Energy (KYUS) | Timothy Sykes - Stock Trader, Author, Entrepreneur
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1Tony Ellis(TIMBUCKS: $24)
March 11th, 2008 at 5:46 pm
What’s going on with ATAI? How does a Chinese IPO with no promotion and volume go up in this market?
2timsykes
March 11th, 2008 at 5:59 pm
atai simply has no sellers and reported good earnings. not a tough combo.
3mario
March 11th, 2008 at 7:01 pm
HI Tim,
New to your blog. Love it. What are your thoughts on shorting SWC.
Thanks
4timsykes
March 11th, 2008 at 7:14 pm
thanks, do a search on this blog for SWC or look in the forums, basically it was a good short off the top but its risky now
5puma
March 11th, 2008 at 9:56 pm
so are you buying cvsc for short-term, given thats theres minimal downside and possibly unlimted upside?
given that the market may be bullish for a few days think it can get dragged up, then dropped down? (then it’ll be a good short? if available)
6timsykes
March 11th, 2008 at 9:58 pm
i might buy some CVSC intraday for 20-30 cents but i’m too scred of a morning collapse/SEC halt to hold overnight. trade scared and u cant get burned
7Brian D
March 11th, 2008 at 10:49 pm
Reminds me of a certain RGEN play during December. Strong volume, and the ability to not hold its highs followed by a nice tank a bit of retesting and a further tank.
8Joseph
March 12th, 2008 at 8:46 am
Tim-
BVRG too scamola
They will be doing a Foward Split soon, this is same guys as RCTY, ALMY and all other sh*t shows when they are done
9Joseph
March 12th, 2008 at 8:48 am
Speaking of a hault
http://sec.gov/litigation/susp.....-57476.pdf
Haulted this AM!
10Joseph
March 12th, 2008 at 8:48 am
Halted I mean
11Gary
March 12th, 2008 at 9:24 am
timmmay!!!
where is your shorts into CVSC.!!!
of course none for ETrade!
12lmsmith
March 12th, 2008 at 9:38 am
WOW… that speculative TMA sure have me sitting lovely over here- No guts, No glory!
13Joseph
March 12th, 2008 at 9:40 am
Gary of course not, Etrade doesn’t allow you to short Pink or OTCBBs
14timsykes
March 12th, 2008 at 10:29 am
Damn CVSC down 30%, scary predictable, couldn’t find any to short though :(
15The Barber
March 12th, 2008 at 10:43 am
cvsc is a buy for a quick pop
16The Barber
March 12th, 2008 at 10:44 am
If it breaks back past 2.00 for sure
17The Barber
March 12th, 2008 at 10:46 am
Coin is just gonna keep its down trend into the single digits… no buyers left very low volume
18The Barber
March 12th, 2008 at 10:49 am
Coin/ dead cat bounce yesterday…short covering no natural buyers
19The Barber
March 12th, 2008 at 10:50 am
Everyone in my office is short..I recommend my friends on this blog as well..
20timsykes
March 12th, 2008 at 11:08 am
experience teaches me yes, COIN will drift down to the single digits, but its not definite and even if it does, there will be many spikes along the way. also u forget it took a damn long time to break the 9-11 range, lots of support around 10, so there’s some downside, there’s some upside, i’ll wait to see a gradual daily decline like i like
21Mazda3jdm
March 12th, 2008 at 11:10 am
CVSC took a big fall just like you perdicted Tim
22Adam(TIMBUCKS: $2)
March 12th, 2008 at 12:07 pm
Take a look at HYBR, I received a text on 2/12/08 (pump) and it was trading around $4. That day was a perfect short entry unfortunately etrade doesn’t have any available to borrow. It went down almost immediately! It looks like it is being pumped again and if anyone can find shares, let me know where!
23Stan
March 12th, 2008 at 12:21 pm
tim - dont u think it will be tough to get to single digits considering actions by the fed, the big boost yesterday.. which may have its effects for a few days followed by a possible rate cut next tuesday/wed??
24Stan
March 12th, 2008 at 12:30 pm
what im saying it might take a long time like 3 weeks for coin to be going down to single digits because of where the market is heading what do u think?
25Lisa
March 12th, 2008 at 1:26 pm
Coin’s movement has no correlation with market’s movement.
it may get pumped again, or it may continue it’s downtrend
26Stan
March 12th, 2008 at 1:43 pm
explain how then COIN went up $1 a share yesterday and CONW $1.5% nearly 10% when the dow had a record day.
Probably that now pumping and manipulation has ended which accounts for all its gains when the market was going down. yes its going to continue its downtrend but also is now slightly influenced by the rest of the market as well as yesterday shows.
27bryan
March 12th, 2008 at 1:58 pm
bostob beer..SAM…….supernovaesk? has sideways action…what do u think? too expensive and great earnings mean its too risky?
28bryan
March 12th, 2008 at 1:59 pm
boston beer? SAM supernova? good sideways action? short biased? i know its not american to short beer let alone american real beer.
29timsykes
March 12th, 2008 at 2:59 pm
sam can never be a supernova, its a real company! no matter the pattern, institutions are involved, avoid
30gero
March 26th, 2008 at 2:31 pm
can i get ur thoughts on HRAL?