The thing with investment advise from a total stranger is, that he is the one proifiting the most. he will buy before you, and sell before you.
Must be nice!
as long as you make the amount promised does that matter
Well, it is illegal ( not that anyone cares about that in here...) and yes, because if this thing gets bigger, the last guys to sell will be the bagholders.
Just look at the volumes of his posted shares.
50million shares of a pennystock for 0.001-0.01 AUD. That means that on average maybe 250.000 AUD in value were traded (maybe even half if this program double counts). Now lets say he moves 20k himself, and 20k are his follower sheep. Than you have 40k invested at start, and maybe 200k at the end. He may very well be able to cashout his immense gains, but as the number of the stake of the followers grows, the chance for all of them to come out ahead will sink significantly.
Basically it is a ponzi. Many people were already convicted for this.
http://de.wikipedia.org/wiki/Markus_Frick for example
the term i believe your looking for is Pump and Dumps, people can research it, or just watch the film wolf of wall street, but your wrong again, i think you have not read the thread, when you say AUD do you mean australian dollar. i have not given advice on any australian company, i only trade UK, canada and USA stocks.
see the stock VMP, that rose 700% and look at the current price, are you telling me that was a pump and dump, people can still sell for the massive profit today when they bought in when i told them. that can't be a pump and dump, secondly, your right where if i were pumping and dumping there are always casualties, i cannot see anyone posting they have been victim of this method. i do not play with pump and dumps, it will only bring in short term profit. after the first trade the game is over as there are people who have lost money. i give advice where you invest your money on credible and factual info, you hold and sell out when i say. everyone makes a profit not just some. there are thousands of companies on lse. users are not piled into one company, investments are spread out. some of the stocks may rise more than others, so as long as your making money that shouldn't be a problem for that person.
Well, ponzi might be the wrong word, but i am not a native speaker.
