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Posted On: 06/20/2017 7:34:31 AM
Post# of 871
I know that some don’t like to talk about this but if someone wants to buy a 1 million shares at this time probably 20k shares a day over 50 days, (2 ½ Months) would be a reasonable approach but no doubt each buy would result in less shares as this appreciates. If one accelerated that to say 50k shares a day for a month with the current volume we’d see much larger moves to the upside, probably 10 cents per day which would result in greater pressure for the shorts to cover. However another way the shorts could cover though would be if they approached LPC for a side deal, honestly probably a win/win the shorts could clear their plate and LPC could lighten their side and yes then I agree in that case the days to cover doesn’t matter. Remember the S-1 was declared effective and we are north of $1.50 now so Lightwaves management wants to they can do 200,000 shares per day every other day, the shorts could possibly unintentionally fund this up to the release of the 25 Gig Modulator LOL, I’d have to think about this, no doubt funding and partnerships will be plentiful then (Rock and a Hard Place for the Shorts). I’m sure they would only be allowed to do this once or else it could be considered as “arranged”. Looks like they will update the 15th settles next Monday so we’ll see how the numbers look, the volume was not there, the S-1 was just declared effective, I’m saying that shorts number published on that release will increase.
This gets more and more interesting every day.
I copied the following from the shortsqueeze.com website.
Many people assume that short interest in a stock alone biases a stock to either upward or downward price moves. This is not the case. The potential for a squeeze is dependent upon two market forces: the amount of concentrated short interest that exists in a stock and the price action of the stock.
Part 1: A stock's Days To Cover (Short Ratio) and it's Short Percent of Float are both used to identify the amount of concentrated short interest that exist in a stock. The higher these numbers, the higher the amount of relative levels of concentrated short interest there is in a stock.
Part 2: The second factor in evaluating a stock Squeeze Ranking™ is the stock's price action. The stronger a stock's price performance is, the more pain will be felt by people who are short a stock. If someone is short a stock and the price action is relatively flat, there is little immediate incentive for a short to cover their position (buy stock). On the other hand, a stock experiencing powerful upward performance, or even making new 52-week highs, can cause an extreme desire by short traders to exit their trades. This is done by buying stock, which can initiate a chain reaction of buying interest to surge into a stock. This powerful market force is called a short squeeze.
Naked short selling is not necessarily a violation of the federal securities laws or the Commission's rules. Indeed, in certain circumstances, naked short selling contributes to market liquidity. For example, broker-dealers that make a market in a security generally stand ready to buy and sell the security on a regular and continuous basis at a publicly quoted price, even when there are no other buyers or sellers. Thus, market makers must sell a security to a buyer even when there are temporary shortages of that security available in the market. This may occur, for example, if there is a sudden surge in buying interest in that security, or if few investors are selling the security at that time. Because it may take a market maker considerable time to purchase or arrange to borrow the security, a market maker engaged in bona fide market making, particularly in a fast-moving market, may need to sell the security short without having arranged to borrow shares. This is especially true for market makers in thinly traded, illiquid stocks such as securities quoted on the OTC Bulletin Board, 5 as there may be few shares available to purchase or borrow at a given time.
What is a Threshold Security? Threshold securities are equity securities that have an aggregate fail to deliver position for:
- Five consecutive settlement days at a registered clearing agency (e.g., National Securities Clearing Corporation (NSCC));
- Totaling 10,000 shares or more; and
- Equal to at least 0.5% of the issuer's total shares outstanding.
How many days until the 25Gig Mod news is released? Up UP and Away.
Xster Interesting
This gets more and more interesting every day.
I copied the following from the shortsqueeze.com website.
Many people assume that short interest in a stock alone biases a stock to either upward or downward price moves. This is not the case. The potential for a squeeze is dependent upon two market forces: the amount of concentrated short interest that exists in a stock and the price action of the stock.
Part 1: A stock's Days To Cover (Short Ratio) and it's Short Percent of Float are both used to identify the amount of concentrated short interest that exist in a stock. The higher these numbers, the higher the amount of relative levels of concentrated short interest there is in a stock.
Part 2: The second factor in evaluating a stock Squeeze Ranking™ is the stock's price action. The stronger a stock's price performance is, the more pain will be felt by people who are short a stock. If someone is short a stock and the price action is relatively flat, there is little immediate incentive for a short to cover their position (buy stock). On the other hand, a stock experiencing powerful upward performance, or even making new 52-week highs, can cause an extreme desire by short traders to exit their trades. This is done by buying stock, which can initiate a chain reaction of buying interest to surge into a stock. This powerful market force is called a short squeeze.
Naked short selling is not necessarily a violation of the federal securities laws or the Commission's rules. Indeed, in certain circumstances, naked short selling contributes to market liquidity. For example, broker-dealers that make a market in a security generally stand ready to buy and sell the security on a regular and continuous basis at a publicly quoted price, even when there are no other buyers or sellers. Thus, market makers must sell a security to a buyer even when there are temporary shortages of that security available in the market. This may occur, for example, if there is a sudden surge in buying interest in that security, or if few investors are selling the security at that time. Because it may take a market maker considerable time to purchase or arrange to borrow the security, a market maker engaged in bona fide market making, particularly in a fast-moving market, may need to sell the security short without having arranged to borrow shares. This is especially true for market makers in thinly traded, illiquid stocks such as securities quoted on the OTC Bulletin Board, 5 as there may be few shares available to purchase or borrow at a given time.
What is a Threshold Security? Threshold securities are equity securities that have an aggregate fail to deliver position for:
- Five consecutive settlement days at a registered clearing agency (e.g., National Securities Clearing Corporation (NSCC));
- Totaling 10,000 shares or more; and
- Equal to at least 0.5% of the issuer's total shares outstanding.
How many days until the 25Gig Mod news is released? Up UP and Away.
Xster Interesting
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