Presumably the name of the game is to make money. In wotever...

Presumably the name of the game is to make money. In wotever method you want..

I've noticed this downward pressure and activity on quite a few companies on the ASX, always testing to go lower. No clear pattern but its there nevertheless. I've become fairly convinced that's its an institution tactic to push out retailers and average their holdings down, along the lines T4P was saying, but gaining a bigger share of the company in the end. It seems to happen after CR. Everyones losing value for a time, including the seller , who's actually losing money, so they need big funding to manage this tactic. They take part in the underwriting or IPO with a big %, therefore they probably know management inside out and the organic story of the company and company timing. They're looking to lower prices in explorer stages to get max return in develop /producer stage.Say they invested 5 or $10m, sold out half to take the price down, then presumably they have to buy back in large quantities to make up their loss but at much cheaper prices and then they need to double their money and much more. The stock is in the doldrums by then. Bit of an unknown science? Or is it? Or, can they short companies like AJQ? Is someone selling them the shares to short. Bigger companies yes, but not mircocaps? But the tactic is to get a bigger share of the company at the lowest prices. Sounds good for a top class act. Leaves you in a strong position in several years when the company is producing.
Does anyone know the rules on reporting yr holdings and time frame..ie can you inform market at a delayed later date and isn't it 5% before you have to say anything? But yr selling, so yr under 5% by then and don't have to report to the market..only when yr buying back and above it?

How does that sound?

dw