Australian Securities and Investments Commission
- has noted a concerning trend of social media posts being used to coordinate 'pump and dump' activity in listed stocks
- has recently observed blatant attempts to pump share prices, using posts on social media to announce a target stock, a designated time to buy and a target price or percentage gain to be reached before dumping the shares
What part of this is "may" be manipulation? "Coordinated" and "blatant" .... C'mon ASIC, nothing "may" about it.
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ASIC add this handy "how to"
- 'Pump and dump' activity occurs when a person buys shares in a company and starts an organised program to seek to increase (or 'pump') the share price. They do this by using social media and online forums to create a sense of excitement in a stock or spread false news about the company's prospects. They then sell (or 'dump') their shares and take a profit, and other shareholders suffer as the share price falls.
Link here for the full release.
