Penny Stock Signals Alert Forum

[Ian]

Well.. a new all time low for UDSG has been reached, 12 cents.

[josh]

1) i guess the trickle down to single digits is fully underway.  why did you make that call?  how?

2) the volume is up today, if it keeps at this pace, it'll come close to a million shares.

3) i think when the market perks up, combined with a nice PR, we will see some big movement.  i'm gonna buy more before the market is settled.  my price may be single digits?

[wingfieldman]

I dont think it will ever see a dollar agian, unless there is another pump and dump, I got out at 1.00  on the way down to where it is now.      allot of people made allot of money on the pump,  hell it gets to .05 i might get back in

[josh]

lotta volume today.  Anybody wanna chime in on their guesses as to where the volume is coming from the last few days?

[josh]

I'll keep it on watch.

Look at the five day chart on Power Etrade.  I just have volume showing and the price.  I would post it, but I can't figure out how to copy it.  let me know and i'll put it up.  but look at it.  i see mostly up volume transactions and a few very large down volumes.  I'd guess by the amount of up volume trades that the price wouldn't go down.  but look at the price over the last five days: rolling down to .11 from .17.  Who is making those huge sales?  And what for? 

Are the MM's back in?  is that what "they" do?  What exactly is their function in the market?

[Penny Stock Signals]

Just do a search for "market makers" on google. There is something up with UDSG's volume and it looks like MM manipulation..

[josh]

you see what i mean about that not making sense?

if you look more carefully, you see big red down trades at the beginning and end of each day.  whoever it is is making sure the price stays down.

in a weird way, i think it's a good sign--at least it's a well-enough known stock that the MM's are even messing with it, no?  and they must see a future for it with all the interest, no?

[Penny Stock Signals]

MMs are in every stock. This is what provides liquidity to the market and is why you can almost always get your orders filled at a given time.
http://www.schaeffersresearch.com/schaeffersu/advanced/electronictrading/electronictrading3.aspx

[Penny Stock Signals]

Although you see a lot of buys, the MMs manipulate the prices in order to make profit for themselves. That is just the way it is. However, as the demand for UDSG stock increases, the MMs raise their Ask price, and because it is a MM's first priority to provide liquidity the Bid price in which you can sell the shares back to an MM increases as well.

[Penny Stock Signals]

maybe it's just ready for a pop.  some people would say that a pop in volume like this with the bollinger bands like they are would signal a pop for tomorrow. 

i'm gonna buy some more shares at .15.

When the bollinger bands tighten up it is an indication that the stock may soon explode in either an upward or downward direction. Unfortunately, the explosion didn't happen in UDSG's favor. There will eventually be a bounce, but when and what price is the question that can't be answered.

[joebilly]

SO DO YOU ALL FEEL LIKE IT HAS HIT ITS BOTTOM??  IVE BEEN WANTING TO BUY  MORE TO EASE MY POSITION ON WHAT I ALREADY HAVE ..   BUT WHEN I GET READY TO PULL THE TRIGGER AND BUY MORE IT KEEPS GOIN SOUTH...    ANY IDEAS??

[josh]

I was gonna buy more at .15, but luckily i waited.  If it goes under .10, I'm gonna buy a ton more. 

If the MM's are manipulating the price for their own profit, then why do they want the price to go down?  unless, they are pushing it down so they can buy a ton and then sell off as a nice PR hits and let it rise to a nice high.  is that about right?

[Penny Stock Signals]

Lets say a trader were to buy 5000 shares from a certain MM at an Ask price of 12 cents. The trader later realizes that the stock isn't moving and sees other people selling. The trader then decides to fold and sell their 5000 shares at the Bid price of 11 cents to the same MM. This MM buys back these shares and keeps the 1 cent difference in profit. Multiply this 1 cent by 5000 shares and the MM made $50 on this one transaction. Multiply this by the hundreds of trades a day and you can see how the MMs make their money.

[Penny Stock Signals]

When an MM increases their spread by decreasing the Bid price  (i.e. a 9 cent Bid and 12 cent Ask) they make even more money. However, this decreases the liquidity of the stock (which is their first priority) and there will be less buyer interest. There are also multiple MM's involved so they compete with each other (Good for traders). So the MMs try to find a spread/transaction balance by adjusting the prices to provide maximium profit. There are also laws and regulations in place that prevent MMs from creating any insane spreads in a given bracket.

[josh]

so the MM's decide the Bid AND Ask?  talk about playing both sides....