I agree with a lot of what you say. If a punter wants to dump shares to manipulate prices then other investors should simply pick up those shares. Unfortunately short selling and algorithmic trading does work well and make large profits for those with the ability and resources to do it at the expense of normal investors.
I think the playing field should be leveled by ASIC and the ASX and we should all be allowed to short sell and algorithmic trade easily ourselves. Not just predatory brokers who can do this presumably without transaction fees. Attached are current sales in ADT with someone streaming low side sales continuously attempting to suppress price. I do not believe there is a genuine transaction in the field.
This type of trading is non genuine and deliberate by someone with a large position trying to get a bigger position on the cheap or make killing short selling. I believe that ASIC and the ASX should eliminate this manipulative actively. Perhaps I am naive and it happens globally but It is wide spread on the ASX and distorting investment in Australian assets.
Sub-prime activity made a lot of money for a lot of people but in the long term wasn't real good for the global economy.
I think we would all be a better off without short selling and algorithmic trading and so would our corporations that try to do the right thing by shareholders.
The real issue with MLX, given the level of shorting, is insider trading. What information did those players have access to that we did not. It particular the Renison down grade.
Tasidevil
MLX Price at posting:
6.8¢ Sentiment: Hold Disclosure: Held
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