...We Welcome You To The Resverlogix HUB withIn The AGORACOM COMMUNITY!

Free
Message: Short interest explodes higher, to 841,500

I do not view this as good news Yeti.....while it explains why the PPS cratered, it wasn't shareholders bailing out but rather a substantial short attack, adding over 600K shares to the over 200K already shorted....this in a stock that previous to this was trading just 30 or 40K on average per day.  Obviousy that kind of borrowing and dumping back is going to impact the price...

But to short a stock at this level....its takes not just cajones, but also a big bankroll to meet the margin requirements....especially when its hundreds of thousand of shares being borrowed, this ain't pocket change we're talking about here. 

What's the old expression?  In for a penny in for a pound.....If we start to see the PPS lift and if those behind the short selling aren't able to cover off....I would be dollars to donuts they'll just keep shorting more.  Its a great chance for a bear trap if DM could broker a big deal....but I have my doubts about his ability to close.

The reason players engage in a short attack on a stock like RVX is because they want to demoralize shareholders, inducing them to sell.....and in the market game the bigger your bank roll the more of a bully you can be.  And I am expecting the bullying to continue and quite likely to get worse.  

For me....my mind is made up, I'm gonna be adding.  If they're gonna do me the favour of manipulating the PPS down, it would be impolite of me not to graciously thank them for their efforts by buying more.

Share
New Message
Please login to post a reply