I’m open minded on the issue. There is some academic research to support the existence of manipulation, particularly in small and otherwise illiquid stocks (the popular term is pump and dump). There have also been some successful actions against people who have done it in Australia and elsewhere. In relation to shorting in heavily traded stocks, there isn’t much to find. There are some notable examples of (mainly) US based hedge funds that initiate a short position and then embark on a publicity campaign to act as catalyst. It can be argued that’s manipulation, especially if their campaign includes false allegations or similar. Is that story here?
In this case, and it is common across plenty of stocks, the term “manipulation” correlates quite strongly with poor share price performance in the past. Today there is another thread titled “Blatant manipulation”, which is another evidence-free variation of the same phenomenon. I guess I don’t see the market as clearly as some others.
GXY Price at posting:
$1.28 Sentiment: None Disclosure: Not Held
