Is the suspicion of price manipulation in stocks real?

Mohammad Nourbakhsh, a stock market expert, said: “Manipulating the price of small shares can be much easier than large shares and is more operational, especially if large shares with strong offers from traders or major shareholders.” They are confronted and the ambiguity that exists in large shares has caused the effect to affect small shares as well.

He added: “Therefore, price manipulation in small shares can be done much more easily, but whether such a thing is happening in the market now or needs to be investigated can not be ruled out as easily.” In general, it can be said that it is easier to manipulate small shares than large shares.

Noorbakhsh continued: It is possible for large companies to manipulate prices in large shares. For example, the 300,000 billion Mobarakeh steel can not be easily moved up and down, but the share that has a market value of 5,000 billion and 10% buoyancy can be easily manipulated. Manipulation of small share prices is not necessarily done by legal entities and may also be done by large realities. They can easily disrupt the normal flow of prices by bidding.

Price manipulation has always existed

Mojtaba Shahbazi, a stock market expert, also said in this regard: The issue of manipulating the stock prices of companies in the capital market should be examined from two perspectives. Anything that is so magnified in the capital market is not so big and sharp. We are not saying that there is no price manipulation at all, but it should be safe to say that this is not as serious as it is being talked about these days. Because the nature of the market is to make some news too hot and big. This did not happen for the issue of price manipulation, and during this time we had many similar cases. These magnifications are the essence of the market.

He added: “Manipulations have always existed in the market and will be the same in the future.” Therefore, it is not a new issue specific to this period. When the index was around two million units, no one raised such issues because everyone was in profit and happy. But as the market plummeted, so did various issues. For example, once they said that the legal entities sold and the market collapsed, so all the blame lies with the legal entities.

The capital market expert continued: “They also cited the TSE to prove that the highest sales were related to a certain legal entity.” If this legal is the appearance of the case and behind every legal entity are the facts. Because the realists cancel the baskets and close them, the real estate has to sell, but who can be seen? Legal! Everyone thinks he is a major shareholder if he is not, although sometimes they have sold.

Shahbazi said: “Of course, if we look at that time, we see that everyone was pushing for the bubble to form and the legal entities should offer to quench the thirst of the market, and they did.” It is natural that any rights on positive days should be sold to be able to support the stock on negative days, whether in the form of a marketing fund or marketing codes.

According to him, the market is full and the market fluctuates, but the market is always looking for a reason to blame it. It is the same everywhere in the world. When the legal story was over and the market was a bit stable, and up to 4. 1 million units have risen. Now the debate is going on in another way: the legalists are manipulating the big shares and the small shares are being manipulated by someone else! If such a thing does not exist as much as they talk about it.

The capital market expert clarified: “Except for a series of specific monopolies or a series of specific industries in which these issues may have been informal, this issue cannot be generalized to the entire market.” We can talk about individual symbols and a set of specific symbols, but there is no such thing in the market as a whole.

Shahbazi added: “The market must go its own way, but in the same way, marketing funds can do things that are very appropriate and legal, but I do not approve of the fact that such a thing is done informally.” However, some people are biased in the shadow of price manipulation because such discussions are now buyer. The market grew rapidly and then saw a sharp decline. The government was also to blame for not having a plan.

He continued: “When the index was growing, the government only encouraged people to invest, and when the index fell, it did not have a plan, which was all wrong.” They saw all the problems through the eyes of the organization! The organization is a regulator, not an investor or publisher to make a profit. So with the downturn in the market, it is natural for it to build foam and then grow. These fluctuations are also quite natural. In the meantime, there are a number of arguments for the buyer.

Shahbazi said: “On the other hand, in the last two years, the market has been full of new people and in other words, it has increased 6 times that all of them are novices and rumors are their food.” There has always been limited market manipulation in the future, but it is wrong to try to magnify it to this extent and overshadow the entire market. What does manipulation mean when a share of 200 million is traded per day and the buyer buys and the seller sells ?!


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