Mar. 22 at 8:02 PM
$COE Imagine this perfectly hypothetical scenario: A shady Austrian comes along. He finds a stock that is thinly traded and easily manipulated. He starts posting on Stocktwits, a site of many members, including the world’s largest pool of uninformed investors. He grossly inflates his credentials and starts hyping the stock like crazy. Just like any cult, he develops a following of disciples. They have little understanding of the stock, but buy it blindly solely because their guru is recommending it. Of course the stock rises, because it is so easily manipulated by retail investors. The Austrian continues to hype the stock, makes a fortune, sells out, and is never heard from again. The disciples are left holding the bag. They are afraid to betray their fearless leader, who has long since walked away. Purely hypothetical, of course.
