MMs have influence yes but as I said earlier I think most people's view on just how much influence they have (especially in the mid to long term...short term yes there may be tree shakes etc) is overstated. People just want to believe there is a reason for everything, the simpler that reason the better, they want to understand, and blaming the 'bogeyman' is the easiest reason of all. I'm not denying that MMs can make money no matter what the SP does (due to the spread, commissions etc) and yes sometimes the big players do collude (e.g. the Libor scandal) but the level of collusion required to set a specific SP for MXP would be far in excess of the reward likely to be gained from it. As for the MMs knowing something 'secret'...again this is trotted out all the time and sometimes may be true, but usually won't be. Aside from the fact it's illegal insider trading (and why risk losing your license/business over a broken company like Max), how would they know more than we do? I don't see that there are smoke-filled rooms populated by shady characters who secretely manipulate the world to their own ends....things are too random and uncontrolled for that.
The MM's job is to create a market. Whatever the conditions or price they always win. Always have and always will. Robster, your more naïve than I thought. If they are you views then why move from MXP to RXP. I would suggest RXP has more potential than MXP to be volatile at the moment as investors wait for news. Any news, good or bad will be known by the MM's. They will drop or raise the sp before any RNS for their own gain.
As for MXP, buying seems to be discouraged for now. The reason is only guess work but I suspect something is happening in the background. Just my opinion of course but will be interesting to see how this company plays out. I wouldn't write MXP off just yet.
I think that the effect of MM manipulation on a SP is often overstated, especially on AIM where share prices are volatile anyway. People like to have explanations for things and if a SP fluctuates they need an easy explanation, and stating "it's the MMs playing games again!" is the stockmarket equivalent of "God did it!". Most of the time the truth is probably that it's just a result of thousands of people making decisions and doing their own "thing" which causes the price to drift up or down. Yes I know there are times when MMs do manipulate the price but with a small tiddler like MXP I have to ask would they really bother as much as people think for a share that's worth little more than 1p? Seems unlikely. The SP is what it is because the company is broken, simple as!
Very funny. Just reading your posts from yesterday. Very cruel of you. They are still at the 'MM's doing me a favour stage' 'drop a bit more and I am topping up'. Oil companies hoping to go into production from a drill are still speculators. Until the word speculation is removed from any AIM company then the MM's will take the sp to a level that they hope will generate the most trades.
Looking at MXP recently and the MM's are trying to lock buyers out with the spread. Large order being filled? Who knows, but it does seem strange that buying seems to be discouraged here.
The real reason I left is that I got fed up of winding people up on this board - you lot are no fun anymore! Either people agreed with me (eventually...) or they got fed up of arguing and left. I bought RXP since they seem like an easy lot to wind up. I'll do it constructively of course, pointing out the speculation being delivered as fact, contradictions and the high levels of cognitive dissonance and wishful thinking. I'll soon be the board pariah over there as well....give me a couple of days to p**s everyone off. ;-P
good couple of posts and i totally agree that your better off riding the pump and de-risking. i done the same myself a couple of months back with oilex that has subsequently fallen to 4p from 12p. one on the horizon is Nighthawk who are to spud their first horizontal well in November i think. good fundamentals there though as well. shame about max really but alot of lessons learned so at least we got something out of it even if it wasn't cash! gl
Robster, that was my strategy to a certain extent with MXP. The licence area of MXP was too good of an opportunity. I remember some poster mentioning how easy it is to target shallow targets in that region. My intention was to sell immediately after spudding of NUR-1. I remember you posting that the shares would drop to below 10p which they did. I averaged down and managed to get out on a spike at 12p. Until investing in Max that strategy was successful, especially DES and RKH.
I think if you buy on the way up after a success is a big risk. Depends on market sentiment at the time and expectations going into the drilling program. A high risk of being locked in. This is not directed at your recent investment and the discovery seems to be a game changer for RXP but see how the MM's will bring it down whilst the find goes onto EWT. That wait may already be worked into the sp but there is a strong possibility that it falls further.
Robster , don't know about that but do some research on PPC , they have an honest BOD , good men at the top and are on the way to opening up Paraguay. Compared to this heap of crap ( which is only good now to post remarks on ) I think it is a genuine long term bet. Btw , ref our long history of posting on this board , do you remember that bloke from Ireland who was always singing its praises while we were moaning , he just seemed to disappear from the scene suddenly. Unless he was a ringer ( I think not myself ) , after it went tits up he must have been too ashamed to post again. Either that or he committed hari kari.
...as a stragegy for AIM oilies, having a list of companies that are awaiting results for a deep drill or any sort of company-making-drill and waiting until an RNS comes out saying "success" and then buying shares as soon as the market opens? I know this misses the boat to some extent (where the big gains are) but I have noticed that not all shares at this point peak immediately. For instance RXP took about a week to go from 5p to 20p on news of the big find, giving plenty of time to get in there. RKH and GKP showed similar patterns. MXP did for the shallow find at Uytas (took a whole day to peak). So is there any scope for waiting to here good news then getting in there? Gains would be less but so would the overall risk of losing £££.
thank you both for your kind thoughts. Unlike you both I wasn't prepared to throw good money after bad as it were so missed out on averaging down. Bugsy , you must have bought a shed load to get it down to 1.9 p and that took some guts and risk! I suppose this one and Range Resources put me off AIM completely with all the fiddles going on. Thankfully , I ring fenced my pension monies and apart from PPC which has a good honest board seemingly , have not put any new money into AIM. I think you will agree that a lot of folk have now cottoned on and the days of the ridiculous highs ( RKH as an example pushing up to 500p plus etc ,etc) are now over. Mind you everything goes full circle when the next load of saps come in , but I'll be too old to care then!!
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