Replies to post #60798 on APT MotoVox Group Inc. (MTVX)

[RoninWheels]

OTC MM Roles

Regarding the MM, unlike the uplisted markets, OTC is trading via only MM. They are the avenue of buying and selling the stock. These MM control the distribution of stocks for any OTC stock. For example when you execute a trade using E-Trade or TD or Scottrade, they actually go to one of these MM and makes the transaction with them. That is why it takes 3 days to really settle your trade on an OTC stock because they are waiting for the settlement with the MM. Also the commission that you have to pay for OTC stocks, that commission actually goes to the MM, that is their cut, your broker only gets the trade fee. Therefore the huge volume you see on my list of the MM are just volume of what they traded to the market in the month of April, it doesn't mean they are holding onto that many shares. So for example, if NITE bought 100 shares for Scottrade whom bought it for you, then you will see that volume on the report.

Therefore if the huge volume is from the retail MM, then that is normal. It only means that people like you, me and the board are executing trading and shown on these MM reports.

Scottrade uses NITE
E-Trade uses ETRF
TD uses CDEL

These are the top main retailer MM, so if they act, its ok.

These MM only want to make their commission by executing a trade, most of them don't hold or own these stocks, this is a myth that is misunderstood by the norm. What they misunderstood is a MM must stand ready to "sell/buy" a stock. This is part of the OTC regulations for Company looking to list onto the OTC.

Any Company that wants to list onto the OTC market must find and have a MM willing to "buy/sell" at all times minimum 100 shares per block, and this MM must complete the SEC Form 211 for the Company. This really means that a Company wanting to list onto the OTC market must find a MM willing to act as the trading vehicle for the Company. So when FROZ first listed with the OTC, a MM had to say they were willing to sell FROZ stock to the market and buy for anyone that wants to buy the stock as well.

Will OTC MM manipulate the PPS of a stock = YES. They will work in teams to do that. A common reason unspoken of is there is a huge buy executed, the buy is a limit price buy, these MM will try to move the PPS down to that price to fill that order so that they get a commission cut on the person that sold his/her shares to fill that buy order.

And there are lots of other manipulations as well that these MM does, but the MM don't hold too many shares for themselves for too long, think about it, they can't. They don't just trade on 1 stock, they are involved with every single OTC stock listed. Traded volume in the OTC is in the hundreds of Billions $$$, what makes anyone think they have that kind of capital to hold those shares is naive.