Based on what I have observed, the current objective of the algorithm which is selling these shares is to bring the share price down. It deliberately takes advantages of weakness in the chart to push the share price to new lows as well as suppress runs for a day or two after good news, IMO. Consequently, I don't think it is simply a matter of KAA dumping shares and hiding behind a gagged TA, even indirectly.
However, what I do see is the shorter winning. With significant increases in the O/S over the past year or more, this just validates the shorter's strategy. More and more shares get used at a lower and lower value. Restricted or unrestricted means nothing to them, they can wait out the year or two easily. In fact, restricted shares could work to their benefit forcing the shareholder to wait to sell until the share price has been pushed much lower. Then they can buy them at much cheaper prices if they ever even need to. However this is just basic procedure for naked shorting, not worth expounding on.
In my mind the real question is not whether or not we are being manipulated, but whether or not HMGP can do anything about it. I don't think that is easily answered. Certainly up to this point we know what the answer is. There have been much bigger fish than Hemi taken down by these guys as well. Sadly, in the face of this, KAA has shown nothing but weakness back to those who manipulate his company. They lower the share price, he keeps issuing shares. He puts out PRs talking about 'BIG' things and they see no follow up, no interest from the market. This is a clear invitation to continue what they are doing.
Some folks are saying that is going to change SOON. I just can't help but wonder if come December we'll be sitting here exactly where we are or lower knowing little more than we do now. KAA has shown a distinct pattern of not releasing public information that would help to valuate Hemi. This has been going on for a long time.
We've drilled wells before to little effect. Sure, these new wells are 'different' and special this time. I've heard just about every excuse I can imagine over the past 18 months after the fact as to why nothing has changed. Come December will we be hearing more? I am not saying we will, but I can tell you it sure as heck wouldn't surprise me if we close the year out at lower than we are now.
I sure hope to get proved wrong this week. If I am not, we are going to hear more about 'waiting for the buyout', IMO. In my mind that equates to waiting around blindly for years to find out what assets we really have and what they are really worth and what they are really producing.
Come on KAA, prove me wrong. Tell us something that will actually make enough people want to buy your stock that the shorts will reconsider their position.
