stock manipulation... what would you do?

I have been reading about stock price manipulation.

If you were given with 2lack shares of a company to sell(distribute), how would you ever sell it without putting the price against you?

Ofcourse you can't do that without strategically manipulating the price (by buying back a little and distributing much more than that at certain price level).

I am not wondering about 'legal' issues... but moral defense of above activity!

If you defend the above strategy then don't you support all market manipulation (ofcourse with in legal limits).

If you don't defend, how would you behave if you were the CEO of that company we are talking!

what you guys think from 'ethical stand point'

common guys ! Everyone ever trading should have some opinion on this topic !
Anyways, I got my dilemma resolved and will post my view on Friday evening... until then I invite you guys to post your opinions.

100+ views but no one seems to dare to crack the question !? I don't think the question is a trivial one either...

Anyways as I said here are my views:

Here are few stock price manipulation :
stop loss hunting.
manipulating the price for distributing huge pool.
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Stop loss hunting : Ethically wrong
Reason : Brokers have fiduciary obligation towards protecting their clients.
In reality: It happens anyways... one need not be broker to guess the stoploss clusters, usually they are few points away clustered around round numbers...

manipulation for distribution:

I think its okay when you are distributing a huge pool of shares without putting the price against you. If we consider the nature of speculation, we enter into the speculative trade with basic assumption "our judgement is better than the counter party" and on top of it no one has any fiduciary obligations to other, so the entering party assumes the risk. This is more like using the weapon of the enemy to defend ourselves ! If we don't follow the strategy its like cutting our own throat with our own knife !
Its more like a karate champ defending himself against rogue kids.

This strategy is morally NOT okay to accumulate scaring the poor souls (public), this is like the karate champ beating the crap out of school kids for scoring points... its not worthy of any pride even if the law allows it.

When is the last time we shared our profits with a losing party so technically no one can complain about the above strategy, its just a matter of style (atleast for me) !

If I were the CEO of the company I talked in previous post, I would inform all my investors about the buy backs and get their approval, as I have fiduciary responsibilities towards my investors. If I were some hedge fund, I would adopt this strategy for distributing the stocks and keep it down until the operation ends successfully.

Above sentiment is also shared by Jesse Livermore in his book 'reminiscence of stock operator'.

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more over I have been posting the same question to different forums, I am slightly surprised none of the academics speak the native tongue of a speculative trader, it seems none of them ever traded atleast once !

http://mises.org/Community/forums/t/28670.aspx?PageIndex=1

In the above link, John, his stance is more broader and very academic, he sees trading a positive sum game, with both parties ending with a double thank you, but we guys know better 80-90% traders are losers.... anyways am not saying he is wrong, he is right in broader sense but fails to grasp the speculators view point. He can't get his head around the idea, speculative trading is more like 'betting'. I am able to see his point but I think he fails to grasp mine !

http://objectivistanswers.com/questions/6161/is-stock-price-manipulation-moral
http://forum.objectivismonline.com/index.php?showtopic=23195

Here too, philosophical and academic guys but they do have few valid points!

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so that's all guys...

Enjoy !

more over manipulating price is a HUGE risk to the initiator even if he is super skilled.... just wanted to add this!

'Block deal' is the most feasible process of selling huge chunk of shares without disturbing the market actions (Though you would find the block deals draw attention to the stocks for the next few days)... But it needs two or more parties on the opposite sides of the trade... If you read the book on Livermore, he was talking about the stocks which were needed to be dumped due to their low fundamental value or depressing economic condition in general (bear market).

I agree with this, things we can't judge it 100% correct, we make some prediction according to our knowledge and dependent on most probable things, some times they may wrong.
onlinegtrash thanks for sharing...