AN1 0.00% 0.8¢ anagenics limited

unbelieveable, page-14

  1. Osi
    16,415 Posts.
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    Key questions for Q1 are:

    * whether or not there will be another trader created pump and dump on back of news and;
    * whether or not or not there will be sufficient fundumental substance in any news to sustain a significant SP rise.

    My understanding is that traders may spring load the buy side (maybe on conditional orders or by close monitoring) to "pump" the market response to an ann. Other traders jump on board wagering when and where the stock may peak and with fairly tight stops in place.

    None of this is illegal as it happens in response to an ann. There may be no "actual" conspiracy (legally defined) to pump and dump . . . just a "learned on the job" understanding by some well heeled traders. Many biotechs are in the same boat (eg, ADO, BIT, GTG, HTX, OIL, PYC). Sometimes a pump will finds legs and sometimes it won't lol.

    In CDY's case my guess would be that any decision by a mainstram manufacturer utilise the MK patents in a large market diagnostic product WOULD sustain most of a significant SP rise (spike). If the announcement is slightly short of this mark (eg. MOUs only, vague timeframes, similar competing products ) the market may dump the pump.

    To maximise there risk reward scanario a SP drop to around the 3c mark (a key technical mark according to Fluffy) may be another prerequisite for CDY being spring loaded for another pump.

    This is just (possibly warped) my view of reality. I'm only learning and others may agree disagree or add to the discussion.

    cheers



 
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