I do not know German law but I have to believe you have no cause for action until the stock drops and drops substantially.
For the moment, it looks like a stock that did not receive adequate attention from the market until Mr. Prior started talking
about it. If it never drops back (below $40 perhaps, who knows?) you have no choice but to acknowledge Mr. Prior might possibly
know something you do not. Truth is stranger than fiction! Things like that do happen. Look at KIWT and IRSN for recent moves
like SCMM has made.
I have absorbed enormous losses already. And I am humiliated. I am humiliated not because of the loss. I am humiliated because I lost to manipulation & inside trading, not because of natural market forces. Of course, we can not blame on the Germans just because they excited on tech stocks.
I have never encountered an abnormal situation like this, ever. My financial adviser/broker with Smith & Barney stated the same.
If you need my support & BBs support to launch a Class Action Law Suit, I am available for this as well. I can contribute many ways to succeed in a Court of Law. Is this what you have in mind?
I think the most effective way to get "them" is through private investigators & attorneys. They can move quickly, with the help of SEC of course, for guidance.
Do you have a recommendation for a competent attorney specialized in stock fraud? How about investigators?
We need to get in touch by email. What do you think? It's about time to take further concrete action?
Don't leave this message board. Check from time to time.Maybe I will need to contact you later. I think you know what I am talking about.
I got your message. Thank you.And congratulation again.Absolutly perfect execution yesterday. You are very smart.
The most likely explanation is that whoever owned the shares that were lent (lended?) sold to take a profit, and whoever purchased them at these levels felt they were taking enough of a risk without allowing their newly purchased shares to be used by rabid short sellers to speculate against them. This is one of several aspects of a short squeeze.
I am embarrassed to admit I allowed my judgement to be swayed by the shorts and the meteoric rise in this stock. No, no way would I take the risk of unlimited loss by shorting it, but I seriously thought about buying it when I first noticed it a few weeks age, before the price continued to soar another 50%! and did not.
The thing is that it is not a foregone conclusion that the stock is overpriced at the current level. In fact it might be underpriced. The market (as I understand their product) potential is so large in comparison to the capitalization that the right venture partner could cause this thing to triple again.
NO WAY OF KNOWING WHICH WAY IT WILL GO! I am just not brave enough to take a flyer and chase this stock up.
That what I was talking about. < SCMM is deliberately and artificially keeping price up ... so they will delute 3 mln
shares(insiders shares) at high price>. Somebody called back shorted shares and we had and still have a major squeeze.I never lost money
before on short trade and I wouldn't loose with SCMM. But somebody forced me to cover my short position in spite that I have plenty
of cash in my account. But I am not going to give up.I hope I will find out what happend and somebody will pay for this. Happy
Usually the SEC or the NASDAQ does not disclose whether they are conducting an investigation. They keep quiet until the action.
If you feel you been hurt by the manipulation, please keep writing to the SEC in Washington, DC.
Did anyone know SCM was traded on the volative New Market in Germany before he shorted it? I couldn't find this info in the company prospectus, other than the recent earning release.
100K traded on a 3 million float is HUGE volume. The other 10 million that you refer to is kept in the company coffers for bonuses etc. You'll find that's pretty common for new companies, not at all out of the ordinary.
Please post more specific info about the SEC investigation
I fully understand your frustration.
My broker also called me yesterday & said he had to call in the shares. He never seen anythink like this in 15 years of his career. Very abnormal situation.
I am sure my short position has been closed today. Its intereresting to note Datek does not have the same problem.
I write emails, faxes, and call on SEC to help many times. The NASDAQ somehow does not want to get involved. SEC is currently investigating SCMM big time for inside trading & manipulation. I heard SCM is deliberately & artificially keeping price up in Germany... so they will dilute 3 mln shares at high price.
BIG QUESTION: WHERE ARE THE 3 MLN FLOATED SHARES NOW?
It seems only very small percentage is traded everyday on the NASDAQ and Germany (i.e. 50K ~ 100K). So, .. who owns the majority of the float? Who owns the rest of the 10 mln shares?
Write me at my email address at Chicxulub@aol.com. Though my trading club partner is unwilling to pursue any grievance (she was out 1 1/2 points and covered right before the run-up having shorted at 52) I have come across another poster on AOL who claims to have had his shares called in on 2/28. Write me and I'll give you the link to his post and you can write him yourself.