Stock Spam Messages: SEC study suggests you should follow their bogus advice for profit?

The SEC is cracking down on stock price manipulations where spammers send out millions of email messages implying a stock is going to rise. Presumably the spammers have bought calls on the stock or own shares and then reap benefits if the price goes up from the fake interest created by the bogus emails.

But this raises a darn interesting question. If these manipulations really are working to inflate the price of certain stocks artificially – and they appear to be working – then the best course of action for Joe average investor may be to…wait for it…. BUY those darn spam STOCKS!

Some caveats would obviously apply here – you’d want to make sure you are 1) Not doing anything illegal yourself, so you’d never send out the spams or hype the stock yourself. 2) Buy early in the process before the price spike happens. Heavy internet users probably are the first to get the spam, though you can also check this interesting site, Spamnation, for details about the latest spam scams.

I’m testing this hypothesis without buying anything by following some of the stocks listed at Spamnation. Heres the COB.F chart which suggests the spam may have worked wonders on the price.

However CAU, with less spam and more recent activity, is up only a penny today and appears to have been falling recently, suggesting the spam did not work or didn’t work yet.

If, as the SEC crackdown suggests, stock spam scams are artificially inflating the prices of stocks, it may actually be to your advantage to *follow* the bogus advice even though it’s a bunch of illegal lies and deceptions.

Isn’t that … funny?

Brain scans yield key first step to … reading your mind.

A provocative experiment in Germany raises questions about the future of keeping our thoughts private and even free will itself.   Researchers have been able to predict, with modest accuracy, the *intention* of a person to complete a mental task.     Predicting physical actions with brain activity has been done before but this appears to be the first example of predicting mental activity from brain activity as measured by MRI.

Here’s the story

The implications are significant both philisophically and in practical terms.    What exactly is “free will”?   If our decisions are effectively made *before* we actively process the information then what exactly is in control of our thoughts and actions?      If your future “decisions” are simply a product of a bunch of your past thoughts and behaviors then you may be a lot more predictable than you think.

From a practical side this could make for a marketing dream world (or nightmare world?), where persuaders in advertising or politics would tailor the message to your specific brain activity, or even try to “short circuit” activity in their favor.

Hmmm – I suddenly feel compelled to vote Ray Kurzweil for president …