Uchumi Pump:Dump

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Uchumi Pump:Dump Uchumi Supermarkets PLCNSEKE_DLY:UCHMEquityWhaleThis is purely for demo purposes. :-) :-) A Pump and Dump is common to those who have been in the market for a while. This is when an individual, group, or institution takes advantage of an illiquid asset by aggressively increasing its price for a lucrative exit. If you pay close attention, you can spot a pump and dump in some tradeable assets. Let us use uchumi. I am not implying that this is a pump and dump, Haha :-D But we can use it as a case study. This is how it works. 1. There is a period of accumulation. This is when the pumpers buy the stock, and it happens for a period of time. It can be within a month or a year. The accumulation part is very sensitive; you MUST know what you are doing. Experience is KING here. 2. There is capital invested to accumulate the stock, and capital that will be sacrificed for the pump. However, the capital invested must be greater than the capital to be sacrificed. e.g... if you have 1,000,000 dollars for the pump and dump, allocate at least 70% to accumulate the stock and 30% to pump the stock. 3. Having some information about the asset that might not be public yet can be beneficial, but it is not necessary. 4. Once done accumulating at the best price possible, the pump begins. Please pay close attention to the order book and work with it for the pump. At the end of the strategy, even if you make 200% out of a 400% pump, you are still in the money. However, if the strategy fails, you will be in BIG trouble and end up stuck with a pretty nasty position. I just wanted to let you know that that's all for now. The rest is up to you to learn the markets, expose yourself to different assets, and fill in the gap.