GREY:QSLRF - Post by User
Comment by
mercurysmithon Jun 10, 2014 11:09am
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Post# 22645515
RE:RE:RE:Known Facts vs Speculation
RE:RE:RE:Known Facts vs SpeculationWe now know Mr. Xie sold another 538,000 shares (of the total 613,250 sold) on the day of June 6th (between .55 and .45). As of closing on June 6th he still had 12,408,333 shares. We now know he is definitely the person causing the s/p to be walked down.
Based on this pattern, I now speculate that he likely sold a large portion of the 414,000 shares sold June 9th. We will likely know for certain by tomorrow.
It appears that the trading volume is slowing down today, so far all in the low .40's in lower volume.
This begs the question of the motives behind Junliang Xie walking the price down 50% in 4 trading days. As I see it, the possible motives are:
1. An irrational motive based on anger at the Q leadership.
2. Rational motive based on wanting to create some liquidity.
3. Rational motive based on wanting to walk the price down for some gamesmanship purpose of controlling some aspect of Q.
4. Rational (but illegal) motive of knowing with insider information that Q is in trouble.
When I think of those four motives, I don't know him so I have no way of knowing whether he would be willing to do something irrational, but I wouldn't assume his actions were irrational.
If he was just trying to create some liquidity, the proper venue was not the public market because he has now sold 1M shares in 2 weeks and maybe more if he sold lots on June 9th. I doub't he is so naive as to think selling the shares on the open market wouldn't walk the s/p down significantly.
I continue beleiving Mr. Xie is acting rationally with the intention of walking the price down temporarily for some purpose unknown to me (although with my past post I gave one rational explanation).
I don't believe he is acting illegally on insider information. The company has twice in a n/r confirmed there is no negatyive news on the certification front. I believe them. Yet some shareholders must still wonder if Mr. Xie is acting on insider negative news because they are willing to be like sheep following Mr. Xie's lead in selling. That is rational on their part in a way--I have at times used as a primary trading strategy the buying and selling based on what insiders are doing. I am just hoping their logic is wrong in this particular instance, given my belief that the motivation is not undisclosed negative news, but rather, some gamesmanship stratagem reason for walking the s/p down temporarily.