Stock Questions

Ok.. so I don't know much beyond the basics in stocks. But just had a question. Curious to hear opinions.

So say we had a VERY Popular board, I mean exponentially larger than GRB. Say we all were ready to invest some money. Say we all posted up we were going to buy the same stock at the same time. Say we had enough people to actually effect stock price temporarily. Then we all decided to sell at the same time. Would this be insider trading? Would this be collusion?

I understand the idea, that this would be almost impossible to coordinate, but would it work in theory?

Not insider trading, that is when you work or know something about the stock - usually it is about to crash and lose a lot of value and you sell first before you take the monetary loss.
The proof has to come with your knowledge in the eminent loss, some people just get lucky and are never charges.

It is illegal to do what you are suggesting (the name will come to me later) but it does have to do with substantial partners inflating the price of the stock and unloading en mass to devalue the whole of the stock after the large portion (weather one holder or a group) see at once, again though, proof is with the SEC, but typically that type of trade is a no-no.

Yap, just ask Martha Stewart 🙂

<WHEW> I am glad I never read this thread. I have nothing to do with this at all.. GOT IT!!!

🙂

Yeah... let me post, it WAS NOT my intention to do this. I was just curious.

Now Lexx wasn't the Martha Stewart thing different. She was insider trading, she sold out of her stock quickly when she got insider information that it would tank the next day, right?

Bubbaspanky wrote:Yeah... let me post, it WAS NOT my intention to do this. I was just curious.

Now Lexx wasn't the Martha Stewart thing different. She was insider trading, she sold out of her stock quickly when she got insider information that it would tank the next day, right?

Yes, and SEC caught her.

Yeah, that is true. She only was convicted of lying to the FBI or she would have gotten 8-10 for the insider tip. Now George Soros on the other hand did pull something like you asked. From what I heard he and others starting betting on US dollars and Euros. Hugh russian investments or selloffs which he made millions on betting the value of currency going up or down.

I think one of the major rules is if your a part of a company, your not allowed to publicly share any info on its fortune or demise. If you know your getting a major contract and you 'tip it to your friends your in violation of the securities act.

What amazes me in this modern day of computers is how nothing has been done to track groups betting on the same futures in the same profit margins. The SEC and congress are clearly in cahoots over this or there would be allegations all over the place from both parties.

Buy Foreign money is legal. It's called Forex, but as far as I can tell, it's a guessing game like anything else. And way riskier.....

In Texas I worked with a guy who one day was all over the refresh button, I asked him WTF?
He said he bought Penny stock in a new company.

SEC - Definitions vary, but in general a stock with a market capitalization between $50 and $300 million is a micro cap. (Less than $50 million is a nano-cap.) According to the Securities & Exchange Commission (SEC) any stock under $5 is a penny stock. Again, definitions can vary, some set the cut-off point at $3, while others consider only those stocks trading at less than $1 to be a penny stock.

He was frantic with the refresh - he tells me he bought $20,000 in 0.17c stock

😱

He bailed later that day - if I recall he made $500. or so. But damn $20K


Worked with a guy in N.H. he did commodities, he bought used cars, fixed them, sold them, took 1/2 the proffit bought commodites if he made $$ he bought a used car and started the process over.
Always saving 50% of any profit from car sales or commodities.

He's retired at ~35 I'm still working........