Anon’s game started when Noront’s share price was over $3.
Both anon and I have a goal of making money in the market.
My goal was based on making money from a rising stock price based on investors jumping aboard an ever increasing asset.
Anon’s goal was based on making money by selling shares, driving down the stock price to ever lower values and making money on the difference between the selling price and the buying back the stock during low trading and negative news days.
In Noront’s case how could anon win – every news release was positive – the asset was every increasing in size – the whole market knows that Noront has a huge nickel, copper, precious metal ore zone (yes mineralized rock at this value can be mined for a profit) – huge chromite zone that could be mined (concurrently to minimize mining costs and maximize profits) and other zone’s that add more value to the share price.
To win big anon knew they had to drive the share price into the penny range – share prices that large investors shunned. To ensure that it wouldn’t loose big money in the case of a take-over it had to have a pipeline to the board. Anon knew it would win every time more stock was issued thereby diluting the asset base and lowering the share value.
Each spectacular news release was greeted with huge volume – investors were jumping aboard on the great news days and the stock value was increasing. During these days anon had to sell huge amounts of stock into the market - timed to dampen the rising share price – always knock the share value on close - sell more on negative news days. How could anon afford to counter the market? How could this work? Wouldn’t this cost huge amounts of money?
Anon knew that the venture market was wide open and the securities’ trading was virtually un-policed with regards to buying and selling rules. So anon decided to treat the market like a casino – no money changes hands when you naked short – the big risks were dealt with – naked trading doesn’t cost anything - so why not !
Anon played out their game – trading day after trading day – hitting the market at the right time with one goal in mind – to lower the share price.To overwhelm the market on good news days didn’t cost anon anything as they were playing with naked shorts. The big game didn’t cost anon anything to play and each day they succeeded in lowering share value, discouraging investors into selling theri shares, they made money. The company helped anon’s game by ever adding more shares thereby lowering the share value.
So let’s hand it to anon – let’s face it – you won – you made a lot of money - but in the meantime congratulations - you also killed the junior market.
Yesterday Noront’s share value closed at $0.22 – it took anon about ½ million shares to hold the share price in the face of expected good news – anon even had to sell ~50,000 shares near close to get their closing share price reduction. So let’s ask the question again – how can anon win? Selling at all time low share values – surely the stock price will now rise causing anon to loose? To win big at these share prices wouldn’t it require driving the share value into the single penny range? How could this be done?
But wait you forgot – the game doesn’t cost anon anything and they make money every time they drive the share value lower. Anon knows Noront’s share value will have to be further diluted to start the mine – so doesn’t anon just have to keep piling it on to make their final big win??
AFS
