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Re: Smith15 post# 3489

Tuesday, 09/03/2019 6:14:34 PM

Tuesday, September 03, 2019 6:14:34 PM

Post# of 11078
Not everyone will hold. You will end up with a different set shareholders. Some will hold for the big prize and some will churn out. It is human nature, fear and greed that keeps everything cycling. The NEW shareholders will most likely have paid a higher price for their shares.

In theory...let's say the float gets locked up. But someone wants in badly. They put in a market order for 1000 shares. But there are no sellers. The market maker will then put up "fake" or naked shares to sell. He is then in a bad position(short) and will need to make it up in future trades. He could do "nothing", but brokers will not like it if their clients call saying they can't get their orders filled.

But let's say the stock price is .50 and the market maker is already down money for the day. He COULD fill your order at .75 and make back .25 a share at your expense. He would then most likely sell a few shares at .50 and bring the price back down and pocket the difference.

If their truly are NO sellers and buying pressure is great, the PPS goes parabolic.

I hope that made sense.