Naked Shorting Review

Naked shorting is perfectly legal in Canada, though the settlement rules are draconian. Look at the chart in the beginning of the following video and see if it doesn't resemble the GBN.V chart since December, 2010.

Netolitzky is bound by legalities not mentioned to the shareholders which doesn't allow him to reveal anything of any substantive nature at any time, except when the naked shorters tell him to. This is why you only have news releases on rises in interest rates. More specifically, rises in the discount rate in the U.S.

I cannot give anyone any financial advice at any time, however my gut feeling on that is that you shouldn't sell your shares at the first offer, but wait for the target price, and then only a portion if that is acceptable. Never sell into the bottom. (even though this is totally painful to watch)

The cause of the rise into December was a panic net settlement for the end of the fiscal year. Naked shorters then proceeded to lay on as much risk as they had during the crash by first selling shares they did not own and taking the money and betting it somewhere else. I cite the accumulation/distribution line of the daily chart over the long term.

A big pocketed player could enter the market and totally upset the applecart by buying at market as much of the float as possible and bankrupting the naked shorts.

A primer on Naked Shorting

http://www.youtube.com/watch?v=hH5cMQLJRUo

http://www.youtube.com/watch?v=4DFtikYeLkw

Naked shorters caught in Canadian markets with their pants down:

http://m.theglobeandmail.com/globe-investor/national-bank-credit-suisse-settle-trading-review-allegations/article1879235/?service=mobile

http://www.jsmineset.com/2011/06/11/in-the-news-today-893/