I have am watching LQMT very closely today.
This is what is taking place. Right at the
opening bell, Market Makers began buying
their own shares, to drive prices up. This
is the spike you saw.
A good seventy to eighty percent of today's
volume in LQMT is Market Makers playing games
and suckering private investors.
Here is how this works, using a Market Maker
with the symbol NITE.
NITE holds 200,000 shares of LQMT at price
well below current trading prices.
At opening bell, NITE buys 107 shares of its
own stock, at two cents over market. Another
Market Maker jumps in, does the same. Private
investors think, "It is going up!" and they
start buying. NITE dribbles out another 333
shares, two cents over market. Other Market
Makers know what is going on, and join in.
Private investors, "Its going up!" and they
buy more. These type of events took place
almost all morning. A lot of people were
suckered out their money by these games.
Eventually the "sucker" market dries up
and prices begin to fall.
Now Market Makers focus on driving prices
down, hoping to set-off "panic" selling.
This has not worked to well today.
Market Makers were able to drive prices up,
but did not sell much at high prices. They
did not have luck driving prices down, so
they moved out of the market. Currently,
what you see are private investors buying
at too high of a price.
Volume is too low today to support selling
above 3.00 per share, if you are holding
thousands of shares. This is why we dumped
yesterday at 2.95 per share, knowing volume
was good and we could unload, no problem.
Give LQMT a few weeks, it will dip down
quite a bit. This is the time to buy, like
around 2.80 to 2.85 per share, then ride
it for a month, back up to 3.00 per share.
There is a risk. Should LQMT issue a good
10Q between now and anticipated price drops,
stock price will skyrocket. Most 10Q filings
are due now, and more will be coming out
next week, and following weeks.
Currently, we will not buy until prices
fall to 2.80 to 2.85, but this might be
adjusted if LQMT shows good strength at
Pretty risky now. Way back at 2.35 per
share, a sure bet of making money. Now
profit margins will be very narrow and
you will have to buy thousands of shares
to make a good price.
My opinion is to take a "wait and see"
stance, rather than take a high risk.
LQMT is a strong company, a good stock,
it will eventually go up more in value.
Trick is timing when to buy back in.
In closing, if you have a live feed, a
level 2 feed, Market Makers can be spotted
because they almost always buy in odd
amounts, like 377 shares, 105, 777, 633,
really "weird" amounts. Guess what? This
is a signal to other Market Makers what
is going on; deliberate manipulation.
This is why I feel so strong about the
Feds prosecuting Marker Makers under RICO.
They are, in fact, conspiring to steal
money from private investors. These signals
they send to each other, is clear evidence
of organized crime.
NT stock, yes, lost 37 cents today already!
You made a great decision to sell!