Sunday, June 22, 2008 9:19:40 AM
Lets say stock ABC opens for trading with a 1000 share transaction at .075. I put in a buy order for 500,000 shares of ABC at a limit of .07. The order is filled in ten transactions of 50,000 shares that causes a "downtick" and the ten trades at .07 are all colored "red". Someone else puts in an order to buy 400,000 shares at a limit of .075. If that order starts to fill, it would be an "uptick" from the previous .07 order and the fills would be colored "green". Now here is where the manipulation comes in, especially on the Pink Sheets. Just before the .075 orders start to fill, an order for 1000 shares at .08 happens to fill which causes an uptick to green. That causes the next ten transactions to fill the order at .075 to be colored "red" again, as according to your "certain criteria" the one small trade at .08 was an uptick followed by the downtick again to .075 and back to red. Lets Say these are the only trades that day and at the end of the day there is another small trade for 500 shares at .08 which causes another uptick so the last transaction of the day is green.
Now when "noobies" or otherwise look at the tally sheet or graph link like I gave tothe, they see what appears to be 400,000 shares in the "red" and only 1500 shares in the "green". Market makers have successfully manipulated the colors to make it appear to "noobies" or otherwise, that "selling" not "buying" ruled the day.
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