Replies to post #127021 on Wave Systems Corp. (fka WAVXQ)

[bbigtim]

eamonnshute/Effect of NOCP Rule

This rule does not prevent all painting. If somebody hits the actual inside bid or inside ask, that is the official close. So one trade can move things radically if the market is thin and illiquid like it has been for WAVXD since the reverse split.

What this NASDAQ rule does do is prevent someone from reaching below the bid or above the ask to manipulate the close. Unfortunately, many systems still report the last sale as the close, so a paint job disallowed by NASDAQ can still affect investor psychology.