How ScamDunk Works

Our multi-step analysis helps identify potential stock manipulation patterns using market data and behavioral indicators.

The Analysis Process

1

Market Data Collection

We fetch real-time and historical market data including price, volume, market cap, and trading history for the stock you're analyzing.

2

Pattern Detection

Our algorithms scan for price and volume patterns that are commonly associated with pump-and-dump schemes and other manipulation tactics.

3

Structural Analysis

We evaluate characteristics that make stocks more vulnerable to manipulation, such as market size, trading liquidity, and exchange listing.

4

Behavioral Analysis

If you provide promotional text, we analyze it for red-flag language like guaranteed returns, urgency tactics, or claims of insider information.

5

Regulatory Check

We cross-reference against SEC trading suspension lists and other regulatory databases for known problem securities.

6

Risk Assessment

All signals are combined into an overall risk score and classification, with a detailed breakdown of what was detected.

What We Analyze

Structural Factors

Stock characteristics that make them more vulnerable to manipulation:

  • • Stock price levels (penny stocks)
  • • Market capitalization size
  • • Trading volume and liquidity
  • • Exchange listing type

Price & Volume Patterns

Suspicious movements that may indicate manipulation:

  • • Unusual price spikes
  • • Abnormal volume increases
  • • Pump-and-dump signatures
  • • Volatility anomalies

Regulatory Alerts

Official warnings and regulatory actions:

  • • SEC trading suspensions
  • • Enforcement actions
  • • Regulatory warnings

Behavioral Indicators

Red flags in promotional language:

  • • Guaranteed return promises
  • • Urgency and pressure tactics
  • • Claims of insider information
  • • Unsolicited contact patterns

Understanding Risk Levels

HIGH Risk

Multiple significant red flags detected. The stock shows strong indicators commonly associated with manipulation schemes. Exercise extreme caution.

MEDIUM Risk

Some concerning signals detected. The stock has characteristics that warrant additional research before making any decisions.

LOW Risk

Few or no manipulation indicators detected. This does NOT mean the stock is a good investment—only that obvious scam signals were not found.

Important Limitations

What we can't detect:

  • • Financial statement fraud
  • • Sophisticated manipulation schemes
  • • Future stock performance
  • • Management integrity issues

What you should know:

  • • US markets only (NYSE, NASDAQ, OTC)
  • • Data may be delayed
  • • False positives are possible
  • • Not financial advice