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BLACKROCK Municipal Income TRUST V.BFK.P


Primary Symbol: BFK

BlackRock Municipal Income Trust (the Fund) is a diversified closed-end management investment company. The Fund's investment objective is to provide current income exempt from federal income taxes. Under normal market conditions, the Fund invests at least 80% of its managed assets in investments the income from which is exempt from federal income tax (except that the interest may be subject to the alternative minimum tax). The Fund may invest directly in securities or synthetically through the use of derivatives. The Fund's investment policies provide that it invests at least 80% of its total assets in investment grade quality municipal obligations issued by or on behalf of states, territories and possessions of the United States and their political subdivisions, agencies or instrumentalities, each of which pays interest that, in the opinion of bond counsel to the issuer, is excludable from gross income for federal income tax purposes. Its investment adviser is BlackRock Advisors, LLC.


NYSE:BFK - Post by User

Post by quinlashon Jan 17, 2021 1:45pm
187 Views
Post# 32315737

Spoofing

Spoofing
Claude,
 
I see you created your account here on Dec 20th, 2020, Welcome to StockHouse and the HEXO forum.
 
Regarding spoofing.  Yes, it is a real thing despite being a dirty way to try and draw inexperienced traders in or scare them off it happens on the stockmarket all the time.  IMHO the practice was heavily deployed since the CEO withdrew his 2020 Sales Projection over a year ago. 
 
If you go back and look over the forums from a few months ago you will see that there were a large number of users posting inaccurate information regarding the stock, mis-reprsenting sales positions, sales numbers and even trying to pass the USD shareprice off as CDN (the list of inaccurate negative statements on HEXO is endless).  
 
The motive for spoofing and making mutli-front media attacks on a stock are numerous however the attack is usually undertaken by a group of traders who take up what is called a "Short Position" on the stock.  These traders benefit when a shareprice falls and actually profit from such a movement in the shareprice.  If you are not familiar with Short-Selling you should look it up over the weekend so that you may have a better understanding of what may be driving some of the trades.  It may sound odd but you can make money on a shareprice going UP as well as a shareprice going DOWN.
 
Short sellers borrow shares at a high price then buy them back at a lower price and net the profit if they should happen to buy back those shares at a lower price than where the short was taken out.  If the shareprice goes up over where they shorted and they then buy back the shares they lose money on the trade.
 
Short sellers are required to buy back the shares so if the shareprice continues to go up those traders buy (in order to not lose money) and the shareprice makes another pop.  If the right conditions occur you get what is called a short-squeeze (look that up too) and it is a rapid and substantial increase in the shareprice over a very short period of time, often in seconds or minutes.
 
Short sellers are everywhere and it is a legit trade on the markets so do not expect them to go away.  When buying you need to try and do so at the cheapest price you are willing to pay.  The odds of the shareprice falling below where you placed your first buy is high so it is best to do a partial buy and leave cash aside to average down, if the fall is far enough below the first buy to add more cash and get your average down you can then do that and wait for the sharepice to rise above your new average.
 
If you have done your research and optimistic on the shareprice going up over time you need to give it that time and not shyte your pants the first day or week after buying the stock.  Keep in mind that we have long time investors still on this stock after suffering through 2020.. that was not fun but many rode it out and some added to get their averages down.
 
Rule #1 - Buy Low / Sell High...
 
If you see a large amount of bashing on a Forum it is not a bad plan to try for a daytrade and start buying as the short traders are panicing about the shareprice increasing.  This is called "Buy on Bashing" and can produce the short-squeeze to the benefit of investors who are betting on the stock going up rather than those betting on it going down.
 
DYODD - Trade with a plan, targets and timelines.
 
GLTA
 
Q
 
Long on HEXO.
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