Why Bashing?

Is the "Bashing" of a stock an essential part of the online investment landscape? Our Constitution guarantees us free speech and we have always valued the lessons gleaned from dissent. When does dissent cross over that imaginary line and become "Bashing"? To often, we find well-grounded dissent capriciously labeled as "Bashing" by over zealous investors bent on protecting a stock's reputation at any cost. The "Bashing" that is addressed on this site is quite different from dissent. The Anatomy of a Basher strives to look at the calculated erosion of confidence in a given stock. Erosion by means that are, in every sense, void of truth, hinged on deception and innuendo, and motivated by greed at the expense of others. This compendium is offered to aid in identifying the telltale signs of "Bashing", and hopefully provide a counter balance to this unchecked manipulation of investor's fears for personal gain.

WHO BASHERS PREY UPON

Consider the elderly that are investing for retirement. They find their way to the message boards for validation only to see false posts about "SEC Violations" and "Class action suits"... or the head of a "typical growing family", with children to put through college, who is monitoring a message board only to read posts by a "pack of 15 to 20 Bashers" (probably 5 or 6 under various alias's) posting continuous disinformation... what do you think these new investors will do? It's safer not to buy or even sell the stock, but rather to put the money back in the bank.

The Internet has lured a whole new class of investor into the market. A new investor is just that - New! This new investor, while learning the basics, is particularly vulnerable to the tactics of professional Bashers. New investors tend to lurk in the background of message boards, content to form independent opinions based on what they read with their own eyes. Very often, honest, intelligent and cautious people can easily be overcome by a well-orchestrated propaganda effort.

You must always remember that there is a lot of money to be made in just the motion of a stock going UP or DOWN. It doesn't matter! And Bashers have money at risk just as you do. But they have the edge of fear, lies, and falsehoods to post while preying on the un-initiated. The average investor doesn't have the edge of organized deception. But we do. This is why we act as a group.

Recent revelations have indicated that even Market Makers (those charged with keeping the playing field level) have been involved in stock manipulation by Bashing on a stock message board.

Here I provide some information how to identify a basher.

Rule 1: Remember, BASHERS NEVER Bash A BAD STOCK.

Check the boards for stocks with no potential. They never have any Bashers. Bashers only go after stocks that are moving up or have excellent potential to do so. Bashers work to bring the price down to either increase their position at the expense of others or help a Short make their bones.

Rule 2: BASHERS ALWAYS BRING UP OLD NEWS THAT YOU HAVE HEARD MANY TIMES.

Any startup companies always have a few bits of bad news. The Basher will post this over and over again. Unsophisticated Bashers will try to freshen up old news with a new date or by-line in an attempt to fool you.

Rule 3: BASHERS POST MANY TIMES A DAY.

They'll try to wear you out. They comment on everything and every other post, and can answer every question. THEY KNOW IT ALL! There is no positive comment they won't Bash. They try to control the board. True longs may have to confront the Bashers or they will appear to the newbies as being the people with all the information. This is best accomplished by posting positive, well researched data on the company, repetitively, while trying hard not to engage the Bashers in direct repartee.

Lesson 4: BASHERS WILL LIE TO YOUR FACE.

Never trust a Basher. This is a very important note. The truth on startup companies is that they make mistakes. What new company hasn't? The Basher will compare your issue to another company, financials - deals - management, etc., trying to lure you into making an Apples to Oranges comparison. Remember, each company is unique and while it is prudent to seek out established indicators, do so with care and don't take someone else's word for it. Strive to come up with at least a "six-pack" of indicators so your vision of the state of a company is not tied to a single barometer. Not doing so is tantamount to going to a Race Track and betting on the "Pretty Brown Horsey".

BASHERS WANT TO WHISPER IN YOUR EAR - PLANT A SEED OF DOUBT, AND HOPE THAT YOU ARE NOT SAVVY ENOUGH TO RESEARCH THE TRUTH ON YOUR OWN.

This is how they achieve their greatest success.

DOUBT + FEAR + LAZINESS = BAIL OUT!

This is your investment... work for it, protect it and don't panic on the words of every shadowy figure that "has your best interest in their hearts". Consider that one factor: Someone you have never met, is not a member of your family, is now, out of the goodness of their hearts - GIVING YOU FREE ADVICE (that you didn't ask for). It's a no brainer. They have motives. Amen! Absolutely! Something would have to be mentally wrong, albeit it is true in this case, with someone to continue to waste valuable time posting negative comment after negative comment about any company. They have some sort of stake, and if not I challenge them to come up with a better reason why they're here. They don't have one except monetary reasons. If the SEC were to open the files on their accounts I'm sure some interesting woo would creep out.

Rule 5: Bashers know YOU CAN'T VERIFY THEIR STATEMENTS

Ask them to give you a viable link to this information and phone numbers to further your DD. That's why they make the vague statements they do. They rely on you being to lazy to research their droppings other than to scan the board for others opinions. This is particularly dangerous when you consider that Bashers work in packs and often validate and back up each other nonsense with what appears to be "innocuous and unsolicited" verification by comrade Bashers. Let's face it, we are all conditioned to "believe" everything we see in writing. If others by virtue of their "posts" also confirm this belief, then we are subconsciously doomed to swallow the hook, line and sinker...

Basher - 1 Honest Investor - 0

Rule 6: The Bashers PLAY ON YOUR LACK OF KNOWLEDGE.

They can lie about information and you won't know the difference (unless you have done your own DD on the company and know the truth and facts).

Rule 7: Bashers play on your lack of patience.

You have held a stock for a while. You knew it will be a big stock someday, but the BASHER CAN GET TO YOU BECAUSE YOU ARE TIRED OF WAITING FOR YOUR GAIN. That's when the Basher is best. You are tired. You have forgotten the goal for the stock was to hold it for one year. The Basher is bothersome, so you dump it on a bad day. Some others also dump. Then you get mad for your loss and return to let everyone know how mad you are. Then you turn into a semi-Basher as well. THE BASHER HAS WON, AND GAINED A NEW ALLY - YOU!

Rule 8: BRING THE PRICE DOWN.

That is the Basher's job. The truth is not important. Lies are the norm. The bashers post continuously on the boards every day. They are trying to scare the newbies that are just investigating a stock. They are trying to wear down the faithful longs on the board and gain free reign and control.