Not sure if anyone noticed the premarket cross - shows up as a 't' print (or a printback). Usually this is done at the end of the day (after the close) and shows partially what a market maker shorted or covered. When its at the ask its usually a sign of they are short and are needing to short cover (or already began). If its below the asks its a sign they are in the process of shorting.
Typically, when a market maker shorts any stocks like this they would do so as follows:
5000 at $.50
10000 at $.75 (approx)
20000 at $1.00 (approx)
So on and so forth. Until there is so much pressure it can't go up any more...or if there is a lot of pressure it will force them into a short squeeze.
As long as a company doesn't have any derogatory financing (aka toxic financing) most market makers will only risk $25-50k on most pinksheet/otcbb stocks.
I assume the market makers are upside down on 20-30000 shares. Which, when this hit $1.00 set off a ton of warnings (also showed why you couldn't place an opening order with tdameritrade and scottrade to name a few)...they needed to stop the momentum (increase the spreads, make it difficult for people to buy, and not represent bids so it looks weak).
My guess is they are trying to cover...some people here (or not here) who bought in the $.20s-.30s probably helped them cover in the $.50s...but, the t print trade would indicate they still need shares.
Don't let the market makers fool you into thinking this isn't a good company...the market makers should just start collecting shares now and sell them back to people at $4+ per share. ...because that is where this is going with $6-10 Million in revenue and not many shares issued/outstanding.
One last good thing is this is starting to show it can sustain decent trading volume...needs to increase a little bit more, but at least its trading a $5-10k per day right now...I'm sure it will pick up substantially with the announcement of a joint venture using a Nasdaq company's symbol with it.
