Category Archives: Stocks

Urgent Request To Pump Up A Penny Stock

There’s a first for everything.

Yesterday I had an odd and urgent request: “I need a stock chart on TDEY — I need it done within 3 hours, and I need you to hype it saying looks like it could see an NTEK type move long run.” 

Curious, I thought to myself what could this be about, and what in the world is TDEY? Or for that matter, NTEK? I actually read ‘DDAY’ in my head… Being in Normandy. The guy sent me to a link for AZFL and a charting video (with over 115,000 views) . I thought, this IS curious.

I don’t know the first thing about Penny Stocks, who buys them or how they come to be. I don’t like to be completely ignorant so I poked around a bit. Obviously, even if I was  offered a small percentage of the company I wouldn’t “Hype” a company to manipulate its stock price. I’m naive maybe, Apple spends billions to do just that. I imagine a college kid (or small get-rich marketing team) pretending to be Goldman Sachs, Apple, Disney, or General Electric. Master of the(ir) empire.

First, TDEY – 3D Eye Solutions, Inc.
3D Eye Solutions is a service provider, a developer and integrator for the 3D Stereo and Auto-stereo media industry. Ok… There’s a 3D Stereo industry?

TDEY

Seeking Alpha does a better job digging in a bit. (here) and there are hundreds of sites concentrating just on Penny Stocks (example). This surprised me.

I won’t waste more of your time on this, but the urgency did get me thinking. I noticed volume in Penny Stocks. Another surprise. After a quick Google search you see a press release explosion in November and the spam energy moves into over-drive. I wonder if it’s the same guy sending all this crap out.  How many companies start out with Penny Stock funding? Maybe I should fund brandnet under this regime. Would that even be possible? I could be providing services for the 3D investment industry.

This parallel universe, is it for real or for charlatans and hucksters?

Sun and Wine

The ongoing spat between China and Europe is heating up. In response to Europe imposing tariffs on Chinese solar panel manufacturers, China has started to target  (“investigate”) southern European Wine Exports. Now, here in France that’ll touch a nerve, just when we finally get some sun.

Interesting. There’s a bit of deja vu here.

Europe claims Chinese manufacturers of solar panels are selling them below manufacturing cost, in other words, they’re dumping their product on Europe and killing local manufacturing. The European commission is claiming 25, 000 jobs are at risk without the imposed tariffs. Jobs are something Europe needs desperately. In the press there’s conflicting information on the real tariffs. Obviously, they’re in serious posturing/spin mode. Bloomberg, says tariffs as high as 67.5%, Reuters is reporting that they’ve created a ‘initial duty’ of 11.8%.

Last October the US Commerce Department did essentially the same thing (New York Times). Solar has been a political hot potato for the Obama administration. It surprises me that China wasn’t more sensitive to this risk, if they are in fact dumping. So almost a year later they’re taking on Europe. Or Europe has decided to react, depending how you look at it. In either case, it’s a very aggressive stance, and a bigger deal than most people realize.

This US-China Market Review from last Spring, articulates the strategic importance that China places on its Solar Industries.

China is prepared to invest RMB 3 ($480 billion) in the clean energy and energy conservation/environmental protection sectors over the next five years.

As well as its agressive stance:

To hold an advantageous position in future international competition, we must accelerate the fostering and development of strategic emerging industries, control the key and core technologies and related intellectual property rights, and enhance our capability for independent development.

It looks to me like China’s success has been putting pressure on both the US and Europe. Is it possibly the West has failed to innovate around renewable energy and now they’ve decided to rely on protectionist tariffs? Throw in the towel? If that’s the case, it’s hypocritical at best.

Or is China being too aggressive and dumping product to secure a monopoly in renewable energy? They’ve staked these industries out as strategic, and have admittedly a cancer causing reliance on Coal and Oil. I can see why China’s investing heavily. I can also see why they’re fuming. But hitting French wine…

I’ve been intrigued for a few years with solar companies, you can see my early posts on First Solar. So considering the latest spat, I was wondering if Chinese solar companies are trading differently than, First Solar (FSLR) for example.

FSLR-SOL-JASOThe answer is: not really.

So is there a trade here? It’s worth thinking about…

Apple Pie – Bank Heist

bonnie and clydeI was wondering about insider trading today. Just a thought; a handful of people, Apple insiders, who are at this moment fully aware of what the market will do in 1 hr. Not just Apple. Lets say you’re in the know for the earnings which are due short(ly). Obviously you can’t trade Apple, but as a market moving stock could you just trade the index ahead of the announcement and be free-and-clear of any impropriety? A harmless quicky… I have no idea, but it’s a perfectly simple question. That question lead me to another market moving curiosity.

Did you see that ES flash crash after the fake AP tweet? I’m surprised it’s not bigger news. 260,000 ES contracts traded, $20 billion notational changed hands, and lots of traders got screwed as their stop losses got triggered. And that’s just the S&P futures market! Bonds, European Futures, Forex, VIX, Oil, everybody got hit for 3 minutes. Oh well… In those 3 minutes well over $1 trillion changed hands! Some serious commission…

Obviously most of those trades were algo driven, so maybe the weak link in High Frequency Trading (HFT)  isn’t the speed, or buggy trading programs (Knight…) after all, but the social media resources HFT uses to drive it’s algos. Just sayin, if you’re a bad guy, why try to hack an exchange, a fund, a market moving enterprise, or bank? Hack a Twitter account.

They might just find the culprit by looking at who really, I mean really, profited from that tweet. We just experienced a modern-day bank heist. Hello good guys? Maybe you should be googling B099i3 & C1yd3

Have fun into Apple’s earnings, I personally can’t wait till it’s over.

Apple Options Activity

This just out from Reuters. I can’t find a Reuters link so I’ll quote the article. I think it has a good pulse on the AAPL investor.

Here’s a link to Doris Frankel’s blog

Apple options beckon eager investors, no matter how small

    By Doris Frankel July 23 (Reuters) -

Roger Carlsen, a retired investor in Frankfurt, Illinois, has happily watched his holdings of Apple Inc <AAPL.O> rise to more than $600 a share, having held the stock for 12 years.

But with the company’s earnings report due Tuesday, he’s not sure the stock has much further to go. So he’s been in the options market, selling call options to take some profits because he expects the shares in the world’s most valuable company to have peaked, at least for now.

Continue reading

Morgan Stanley Chart

Morgan Stanley Bottom Calling

There’s high relative call volume on $MS, looks like traders are trying to call a bottom here. I’d be cautious and maybe even be contrarian on this trade. The volume isn’t screaming bottom to me.

Morgan Stanley Chart

Quotes of the Morning

And both from the same site. Serendipity at it’s best.

The site in question is a popular financial blog, The Big Picture. He has a Ernest Hemingway Quote on the right side of his blog.

Everything is on such a clear financial basis in France. It is the simplest country to live in. No one makes things complicated by becoming your friend for any obscure reason. If you want people to like you you have only to spend a little money. I spent a little money and the waiter liked me. He appreciated my valuable qualities. He would be glad to see me, and would want me at his table. It would be a sincere liking because it would have a sound basis. I was back in France. —Ernest Hemingway, The Sun Also Rises.

This is only half true, because if you show up with a bottle of Calva, that works as well.

He also has a good post this morning about Facebook’s neverending IPO where he closes by saying:

My best estimate of fair value is when its in the teens — just like most of its users average age . . .

Full agreement here!