Today I saw my first major stock dump with $CANN. It had been up trending for the past 2 months since September 2016 but within the past 10 trading days of October 13^th 2016 went from the high 1s to the mid 4s, making it ripe for a dump.

My first indication of the possible dump came from the following alert by Michael Goode from the chat room at market open (Thank you), showing just how important being in chat can be. 

9:36AMMichaelGoode:$CANN looks ready to dump

 It was now on my radar.

Right before a dump this http://finance.yahoo.com/news/general-cannabis-corporation-issues-statement-154440835.html Press Release was published indicating that the "OTC Markets had become aware of certain promotional activities relating to the stock" (the stock was being pumped)

The most telling part of the Press release was that a Form 144 had been filed with the SEC by the CEO the day before on October 12^th 2016 indicating his intent to sell (dump) 100,000 shares.

 I found this Press Release again thanks to the Chat Room, this time thanks to Chicago777 within the following messages

11:50AMChicago777:CANN said they have been forwarded copies of Pump Material on this stock and that they were "unaware" of such things etc. This is what they say near the "Dump" time fwiw http://finance.yahoo.com/news/general-cannabis-corporation-issues-statement-154440835.html

12:19PMChicago777:And Good timing buy CEO usually when they know something negative is coming $CANN On October 12, 2016, Robert Frichtel, CEO of General Cannabis, filed a Form 144 indicating his intent to sell 100,000 shares in accordance with Rule 144.

This taught be to keep a look out for negative Press Releases and a Form 144 in the SEC Filing when a pumped up stock has run up a great deal as an indicator as to when a dump is near.

Investopedia defines a Form 144 as:

A form that must be filed with the SEC when an executive officer, director, or affiliate of a company places an order to sell that company's stock. Also known as Rule 144.

There are five basic requirements fill in order to sell under 144:

1. The form must be filed properly.
2. Adequate current public information must be available. For example, required reports such as the 10K and 10Q forms must have been filed with the SEC.
3. Volume limitations have to be met. One limitation is the sale must not be greater than 1% of outstanding shares.
4. The transaction must be made by a stockbroker in accordance with certain procedures and rules.
5. If the securities are restricted, then they cannot be sold until one year after the date the affiliate paid the entire purchase price.

Read more: Form 144 http://www.investopedia.com/terms/f/form144.asp#ixzz4MzSPiOFu