The Birmingham age-herald., 1907-04-21

lowed him to sell more stock on the &C., cumulated profits MT. A. investment in the stock grew with every new low figrue recorded, untik finally he was snort 20,0 900 shares of the stock.
 In the meantime MT B., who has all ways been more or less interested in Erie. thought thae~the stock was getting on the bargain table. It looked so cheap to him that he bought 10000 shares of it in the London market. But the stock kept going on down and MT. As profits kept or growing. The successful bear campaign in the street was building up his pyramid rapidly, even in a slow mov- ing stock like Erie. The young plunger was accommodating paper profits on the short side of the stock in New York and the broker was accommodating losses on the long side of the stock in London When Erie broke through $30 and began declining through the 20s, MT. A thought he had enough and asked for his accu- mulated profits. reported to be in the neighborhood of s400 coo. All the brokers spare change was put up in London as margin on his long stock. MT. A., when he saw the stock sell at his lucky num- per 23, demanded his profits, and MT. B. between the devil and the deep sea. was forced to sell in London his 10000 shares This selling caused the slump in the stock in London before the opening of our exchange on Monday.
 The followers of stock market pools who get tips when to buy are expecting too much when they ask the insiders to
 tell them when to sell. If a man tips you off to a rise in a stock and you accumulate 10 or 15 points profit (on pa- perl it's your own lookout if you let your paper profits disappear by reason of your greediness The Newport society pool in Union Pacific paid penalty of from $S,00O,0 GOO to $20, 0000 000, according to vari- oas reports, for it's greedness In trying to make points more after 1t had about 50 points accumulated. This pool got the tip straight from the inside to buy Un- ion Pacific before the big increase in the dividend In August, and loaded up with a wad of the stock Its paper profits. when the stock sold at $105, were upward of $S, ,000, 900. But the members of the pool were greedy for few hundred thousand dollars more and neld out for the 200 that never came. Then 1t got stubborn and held or all the way down until 1t was forced to liquidate around the bottom prices at an enormous loss. The insiders who had been good enough to put the young men on to the good thing forgot to tell them when to let go. This lapse of memory is very common in stock market operations
 oHiSH thc iiioiucio III q 7'cNh spy e'PS around to buy it they don't do 1t from an.' ptilanthropic motives. They are glad of course, to have their friends make q little spending money o of their stock, but their own welfare is their first lookout. They put .leir friends into their sto,- because they know that they will all advertise 1t and help make market for it. The wise manipulator of stocks knows the value of making money for people in a stock in which he is running a bull campaign. The higher q stock goes the more enthusiastic do the speculators in 1t become over it's merits. The nsid- CTS. if theJ are wise to the game. begin taking their profits long before the stock reaches its top. After having accumulat- ed their line at low prices they take their profits later on on the way up. The pub lie. if 1t is wisely handled. goes on buying and in the end the insiders get rid of all thei stock and the public is landed with it.
 Sometimes the insiders themselves get as enthusiastic as their followers as their stock advances to new high prices. It sometimes happens that the insiders act ually get landed with their own stock. This happened not so long ago in one of the leading industrial securities. The pool conducted highly successful cam paign in the stock, carrying 1t on from one new high level to another and getting more bullish on the stock with each sue cessive advance. When the followers of the pool began to convert some of their paper profits into cash at the high prices, the pool neglected to do so. and when a big break in the market came the pool was landed with mass of it's own stock.
 Underwriters of mining stock pools are not 50 enthusiastic just now over the