We are all well aware that the SEC wants nothing to do with investigating Muddy Waters or Citron Research. It’s too hard. They’d prefer to go after some penny stock promoters or levy fines against bozo hedge fund managers. When it comes to protecting retail, it’s every man for himself.
Check this out. Some clown created a fake Citron Research Twitter account (which has since been deleted), then proceeded to bash SRPT.
Dollars to donuts says someone made a bundle of money long puts.
Look at what happened to the share price following the fraudulent tweets.
That blip wasn’t a flash crash, but a real one.
How many people got stopped out due to this jerk on Twitter? Also, how many Citron bag holders shorted SRPT three points lower, thinking the firm took a bearish stance on the company?
I realize it’s hard to manage social media and the SEC can’t go after everyone. As much as we like to complain about this sort of thing, you know it isn’t going away. The internet is the wild west of stock ideas and Sheriff Fly is here to regulate.
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If the markets weren’t controlled by HFT’s, fake news stories would not be able to whipsaw stocks likethey did in SRPT. There is no real liquidity anymore. That could happen in any stock at any time.
Hide the husbands. No one is safe.
they b(sic) scammin(sic) errr-y-1(sic) up in herr(sic).
(no ghetto)
I have a feeling that someone is sniping these twitter hedge funds that have algos trading off of streams and news feeds. In other words, social media is getting priced into the market.
Perhaps they should adjust their algoos to only pull data from verified accounts
Hey Fly, you holding FB into earnings?
yes
that twitter account has only 6 folowers
6 followers? 2 tweets? Does social media really have that much clout that if someone hash tags a company that twitter and stocktwits gets enough people to freak out to make that much of an impact?
We should try this 10 times just to see if there is any legitimate correlation. Say “friend who is CEO of XYZ just said company is bankrupt” and “inside tip, company X found solomon’s tomb full of gold hiding behind the elevator shaft!” I really don’t think we will replicate the results even if we pose as a research firm.
$KERX is a liberal plot to take republican short sellers money. 7 trading days to a 3x, wtf! (heart attack)
Used to be Dad went out and retrieved the WSJ and after reading the headline looked at the market results from the previous day. Coke was down .50 one day so he called his broker and he was told “There was a fire in one of the bottling plants so KO shifted production to another facility nearby. The stock is back up .50 so nothing to worry about”.
Did you perhaps mean to write ‘quotiented intelligence’?
no
Did someone say regulate?
http://www.youtube.com/watch?v=1plPyJdXKIY
Such shenanigans are dependable signs of an ongoing bull market. There’s no need to invent shit when markets are in bear mode.
To Sheriff Fly- I would like to be a Deputy and in that regard would recommend to you the following:
1. All HFTs are banned.
2. No internet usage allowed when placing orders.
3. No cell phoning in orders- only rotary dial and phone booths allowed.
4.EF Hutton to be brought back and U.S. Leather Company goes back in the DJIA.
5. No more 24 hour trading of futures and the market will be open from 10:00 AM to 4 PM with no extended hours.
6. The NYSE exchanged is closed in NYC and moved to Boca Raton, Fl.
And forgot the most important one:
6. All Hedge Fund managers,all SEC (the stocks one, not the football one) employees, and CEOs of publicly traded companies to be tested for deer antler supplements
Whoever did this committed fraud and should be prosecuted. It can’t be that hard to identify the offending party.
Actually, unless they were really stupid (e.g. using their own machine or network) it could be all but impossible to catch them.
That’s probably true, but the main beneficiary of the move, whoever made the beneficial trades, should be identifiable. Tieing the person to the fake twitter account may be easier if you know who made $ from the fraud.
CSI ccould do it!
The bastard interrupted the precipitous rise of my shares. So much for planning trades, huh?