Article :
Conspiracy Digest May 26
With the advent of computer trading and electronic money movements,stop loss orders and short selling, it has come to our attention that these means may be used against the small shareholders.
For example XYZ company can see on their own computer screens all the stop Loss prices for all their clients.
Say if AAA company currently trading at $2 hits $1.90 then sales of 1 million shares in stop losss will be triggered. The depth between $2 and $1.90 is 300,000 shares shares.. Thus the broking company sets orders in place to buy 300,000 shares at $1.90 then goes about selling 300,000 shares on market for an averagesale price of $1.95 and then buys them all back at $1.90 thus making a quick profit.
The same goes for margin lenders as well, who will squeeze the little guy to sell their shares at a loss only to find the next day they have increased considerably.
The rebel
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