I dont' think the quiet period is over yet but...
I think that zmax is experiencing a little short pressure
many stocks have risen just by shareholders demanding their certificates
thereby reducing the numbers a shares available to trade:
<FYI-On Burning the Shorts:
This isn't about the legitimate shorts. This is about NAKED shorts, They don't have to borrow shares because they sold "PHANTOM" shares
Legit shorts are (in most cases) are healthy for the market, causing short squeeses on good news..etc.
Naked shorts(mostly MM's) are'nt, they try to run a stock price to 0 so they never have to cover.
The only time they have to cover is if ALL shareholders call in the certificates, AND THEN, all requested certs over the float have to be covered by the NS's
Like this, Ex:
If company X had only 100 shares outstanding, and the NS's sold 50 "phantom" shares, the original 100 would be traded normally, The 50 extra shares would show up as sells, putting enormus downward pressure on the price.
If all 100 are bought up and requested in cert. and only 1 NS is call to cert, this would do no good.
This would only make 1 NS cover.
We have to buy all 50 extra shares and then call for cert. for all 50 to cover. then they will be buys creating enormous upward pressure on the price. They have to buy them back from you when you are ready to sell.
The way it looks, there are as many NS's as there are shares outstanding, maybe more!.> |
