Understanding the price movementsMany might be wondering why this stock price is behaving in a weird way. My argument is that short sellers are to blame. Here are some elements to shed some light on how they are implementing their nefarious plans:
What Is a short ladder attack?
It is a form of market manipulation where an organized group of short-sellers (people who have bet a stock will go down) sell small numbers of shares to each other at successively lower prices to “paint the tape”—meaning to create a series of reported prices trending down that will scare other investors into selling—thus helping their short bet to win.
What Is a short attack?
A short attack is a carefully planned and coordinated attack by a group of short sellers that involves taking a large short position in a company then attempting to drive the share price down by the release of biased negative information. This information can be released in a variety of ways including via a discussion paper, in the media, via “independent” analysts’ reports or on message boards and blogs. Often, these tactics are employed in combination for maximum effect.
What Is a Shakeout?
A shakeout is a situation in which many investors exit their positions in a stock or market segment at the same time, often at a loss. A shakeout is usually caused by short sellers spreading fear, uncertainty and doubt. Shakeouts can be quite variable in duration, but they are usually sharp in terms of the amount lost from recent highs.
A shakeout can also refer to stronger companies in an industry using their capital reserves to acquire or eliminate weaker competitors that have overextended themselves.
What Is P00P&SC00P?
“poop&sc00p” occurs when a group of short sellers attempts to drive down a stock's price by spreading false information, rumors, and otherwise damaging and deceitful information (“1p00p”) in order to then buy the stock at a lower price (“2sc00p”). If they are successful, they can purchase the stock at bargain prices, as the overall marketplace will have sold off the security, causing the price to fall dramatically. “p00p&sc00p" is generally frowned upon by securities exchange regulators and can be prosecuted by the SEC.
What is short and distort?
Short and distort refers to an unethical and illegal practice that involves investors shorting a stock and then spreading rumors in an attempt to drive down its price. Such a practice, most often employed by stock manipulators who trade daily via the internet, involves the spread of unsubstantiated rumors and other kinds of unverified negative news designed to help them realize a profit on their short position.
What Is FUD ?
FUD stands for “fear, uncertainty, and doubt” and refers to a general mindset of pessimism about a particular asset or market, as well as the manipulation of investor or consumer emotions so that they succumb to FUD.
What is stop hunting?
Stop hunting is a strategy that attempts to force some market participants out of their positions by driving the price of an asset to a level where many individuals have chosen to set stop-loss orders. The triggering of many stop losses at once typically creates high volatility and can present a unique opportunity for investors who seek to trade in this environment.
The volatility creates opportunities for traders to open a long position at a discount or pile onto a short position
What Is wash trading?
Wash trading is a process whereby a trader buys and sells a security for the express purpose of feeding misleading information to the market. In some situations, wash trades are executed by a trader and a broker who are colluding with each other, and other times wash trades are executed by investors acting as both the buyer and the seller of the security.
Wash trading misleads investors into believing that trading volumes for a security are higher than they actually are.
What Is a Jitney?
The term is used to refer to a type of market manipulation in which brokers trade securities back and forth with one-another in order to earn commissions and artificially produce the appearance of high trading volume.
In this case it defines some brokers that collude with one-another to exploit their clients and other market participants through various schemes.
What Is market capitulation?
Let us define what a market capitulation is to understand how short sellers are trying to force some to sell in panic so that they can cover their short positions.
The posts on this board are mostly from short sellers trying to plant the seeds of fear, uncertainty and doubt.
When prices in a market fall, the first instinct of many investors is to hang on and wait for values to recover. But if a slide goes on long enough, fear of deeper losses can outweigh such hopes. When enough investors reach that breaking point and sell, the result is called market capitulation.
What Is a bear raid?
A bear raid is an illegal practice of colluding to push a stock's price lower through concerted short selling, while spreading negative rumors about the shorted company. A bear raid is sometimes undertaken by unscrupulous short sellers who want to make a quick buck from their short positions, leveraging social media platforms and online message boards.
What Is painting the tape?
a form of market manipulation whereby market players attempt to influence the price of a security at the expense of investors by buying and selling it among themselves to create the appearance of substantial trading activity .
The goal of painting the tape is to create the illusion of an increased selling pressure in a stock to trick investors into selling shares, which would drive the price lower.
What Is marking the open/close ?
a market manipulation practice that involves making multiple trades minutes before the open or at the closing of the market in order to manipulate the price of the stock. This type of manipulation is also referred to as « stuffing » or « owning » the stock used by short sellers to establish an artificial price that will push investors to panic and sell by stirring their fear emotions.
What Is spoofing ?
a form of market manipulation in which a trader places one or more highly-visible orders but has no intention of keeping them (the orders are not considered bona fide). While the trader’s spoof order is still active (or soon after it is canceled), a second order is placed of the opposite type.
For example, a short seller places a large sell order, only to cancel it and place a buy order. The sell order drives the price of the stock down, while the buy order takes advantage of the lower price. The spoof sell order allowed the trader to execute the buy trade at a better price than if the spoof sell order had not been placed.
What Is psychological warfare?
Psychological warfare (PSYWAR), or psychological operations (PsyOp) involves the planned use of propaganda and other psychological operations to influence a target audience’s belief system, opinions, emotions, motives, reasoning, attitudes, and behaviour. Fear mongering for example is used to induce behaviours favourable to the predator at the expense of the prey.
99% of Canadians do not know this and that is why some rogue American funds are abusing Canadians. This stock is traded in eleven different exchanges and short sellers are abusing the situation to muddy the waters and hide behind all the exchanges and between borders.
The stock is traded in ELEVEN different exchanges :
TSX_OMEGA_PURE_Chi-X_CX2_CXD_TriAct_Lynx & over the counter in the US as CJREF
There are about 8 million shares sold short on the TSX, about 2 million shares in the US and at least 10 million shares in all the other 9 exchanges combined. When you consider that most of the short selling is done through options and other derivatives (futures, contracts for difference..) 20 million is a conservative estimate given that short sellers try to fly under the radar and some brokers might not mark the trades correctly. Some studies have said that up to 80% of all trades are just wash trades meant to mislead and deceive shareholders into making a bad move. Short sellers are not your friends. They want your money.
Stop loss hunting trap:
You will avoid the shake out trap if you understand the mechanics behind short selling. Hedge funds walk away with billions every year from hard working Canadians trying to prepare for their retirement. They place orders as little as 1 share at decreasing prices until the price drops significantly enough to trigger stop loss orders that some unsuspecting retail investors automatically place to protect their downside. Example: I place 15 sell orders at strategic times (when liquidity is very low, at the beginning or end of the trading session)
1- sell 50 shares at 1.77
2- sell 50 shares at 1.75
3- sell 50 shares at 1.74
4- sell 50 shares at 1.72
5- sell 50 shares at 1.71
6-sell 50 shares at 1.80
7-sell 10 shares at 1.68
8-sell 50 shares at 1.67
9-sell 50 shares at 1.65
10-sell 50 shares at 1.62
11-sell 50 shares at 1.61
12-sell 1 share at 1.60
13-sell 5 shares at 1.66
14-sell 50 shares at 1.65
15-sell 12 shares at 1.60
By sacrificing a few shares at a discount hedge funds can trigger the sale of thousands if not millions of dormant shares owned by naive retail investors who placed stop loss orders on them and that brokers and short sellers are happy to scoop up to cover their shorts and hoard them for when the stock starts rising up again.
Short sellers use derivatves like put options and futures to manipulate the underlying stock all under the radar.
Fishing for liquidity
Imagine being a farmer looking for water. You start digging a well. 10 meters deep no water, 20 meters deeper still no luck so you keep digging deeper and deeper hoping to find enough water to justify the investment and time spent digging. Now imagine a bunch of short sellers who sold millions of shares short and are digging/fishing for stop loss orders or people who will be forced to sell at a certain price (those who bought on margin and can't honour repeated margin calls for more cash as the price keeps going down…) that will allow them to cover their shorts. Short sellers will do anything to push, force or convince you to sell because they are sitting on millions of shares that they must buy to cover their short positions.
Imagine that I assume that there are enough shareholders that will be shaken out if the price is low enough.
Why Elon Musk hates short sellers:
https://www.youtube.com/watch?v=P0YaJ9lRyC8
Jim Cramer explaining the basics of stock market manipulation:
https://youtu.be/8DJlogbrDcA
What is stop hunting?
https://www.investopedia.com/terms/s/stophunting.asp
The stock market is rigged :
https://www.youtube.com/watch?v=DX9djYus9tY
The SEC looking closely at dark pools:
https://www.forbes.com/sites/jonathanponciano/2021/08/04/sec-looking-closely-at-dark-pools-heres-what-they-are-and-why-reddit-traders-are-rallying/?sh=4b63b0c22e42
Don’t be the sucker they think you are. To take your money is a fun and satisfying game to these guys:
https://www.youtube.com/watch?v=rsXxyn08DbU
Bear raid stock manipulation: how and when it works, and who benefits
https://knowledge.wharton.upenn.edu/podcast/knowledge-at-wharton-podcast/bear-raid-stock-manipulation-how-and-when-it-works-and-who-benefits/
Short and Distort: Bear Market Stock Manipulation:
https://www.investopedia.com/articles/analyst/030102.asp
Market manipulation is real
https://www.forbes.com/sites/johntobey/2021/02/01/stock-market-manipulation/?sh=2e810dde7eb2
How The Big Players Manipulate The Stock Market:
https://seekingalpha.com/instablog/2918951-g-hudson/1026551-how-the-big-players-manipulate-the-stock-market
Anatomy Of A Short Attack:
https://seekingalpha.com/instablog/11442671-gerald-klein/3096735-anatomy-of-a-short-attack
Naked Short Selling: The Truth Is Much Worse Than You Have Been Told:
https://oilprice.com/Energy/Energy-General/Naked-Short-Selling-The-Truth-Is-Much-Worse-Than-You-Have-Been-Told.html
Scotiabank Fined $127 Million for Price Manipulation, False Statements
https://www.wsj.com/articles/scotiabank-fined-127-million-for-price-manipulation-false-statements-11597877100
Citigroup Fined $45 Million For ‘Dishonest’ Decade
https://news.bloomberglaw.com/securities-law/citigroup-fined-45-million-over-regulatory-breaches-in-h-k
JPMorgan Agrees To Pay $920 Million in Connection with Schemes to Defraud U.S. Treasuries Markets
https://www.justice.gov/opa/pr/jpmorgan-chase-co-agrees-pay-920-million-connection-schemes-defraud-precious-metals-and-us
When market manipulators are the stars of Comedy Central you have to laugh about it.
To watch the video you need to be in the US or use a VPN connection. A real treasure for my fellow Canadians to watch. The interview between Jim Cramer and Jon Stewart comes in three parts where Jon is roasting Jim Cramer for this leaked video ( https://www.youtube.com/watch?v=8DJlogbrDcA )
Enjoy this powerful and hidden knowledge. Courtesy of the Corus entertainment gang.
https://www.cc.com/video/fttmoj/the-daily-show-with-jon-stewart-exclusive-jim-cramer-extended-interview-pt-1
https://www.cc.com/video/rfag2r/the-daily-show-with-jon-stewart-exclusive-jim-cramer-extended-interview-pt-2
https://www.cc.com/video/gliow5/the-daily-show-with-jon-stewart-jim-cramer-pt-3