US Stem Cell Inc (USRM)

[NoMoDo]

If a market maker wants to accumulate a large amount of a stock in one trading day, that market maker may actually not report any of the trades that occurred until the trading day has ended so as not to alert the market to the collection. This practice is completely legal under the FINRA rules of the OTC Markets so long as the trade is reported at the end of the day.

The last few days had a large buy as the t-trade. When the stock moves up too fast, the MM's may need to sell shares at a loss to cover the demand. To make up for the loss, they will create an environment that looks like volume dries up and people are trying to sell. MM's will then buy shares at a cheaper price to fill their inventory as well as make a profit for themselves. The MM's won't report the buys and will sit on the ask such as what PUMA did today. Once they have an inventory for future trades, they will allow the price to rise again. At the end of the day, they will report the trades in one big Form T trade. Because the T trade was a buy, it indicates that we could see a rise in prices tomorrow as the MM's have accumulated at .03.