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Message: RE: DATELINE RESEARCH - NAKED SHORT SELLING

RE: DATELINE RESEARCH - NAKED SHORT SELLING

posted on Mar 25, 2005 08:25AM
Wow indeed and certainly explains the longtooths, zacks, torfs, etc that work feverishly at every angle to the negative in an effort to ``kill this company`` and protect the naked short positions...and then they get the mindless malcontents like heyschmuck, rr, etc to whine away ad nauseum to further discourage other investors to stay involved...manipulated pawns.

``Statistics show that 8 of 10 companies trading on these 2 trading venues, the OTCBB and Pink Sheets, will die within their first three years of existence.``

BUT...

``LONG TERM SURVIVORS

An important aspect of these naked short selling wars is the length of time that the victim company has been under attack. When these naked short selling “gurus that can smell a scam from 40 miles away” guess right and beat up a scam company, the company doesn’t have a chance because of the vicious nature of naked short selling. The lack of assets of the company will be exposed and announced from the mountaintops.

What are interesting are the battles that ensue when these “gurus” misdiagnose a “real” company with “real” assets as a scam. The naked short sellers will still be able to knock the market cap down by 99%, but often it becomes tough to “Kill” the company. Investors that know that the company has the goods can sit back and buy shares at a tiny fraction of book value and thereby average down their previous purchases. Since the size of the naked short position is of a cumulative nature, increasing with the age of the battle, a point is reached wherein the naked short sellers cannot afford to cover this massive naked short position without driving the share price to the moon. This is when the games get really dirty because hundreds of millions of dollars are now up for grabs, winner take all.

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