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Microcap & Penny Stocks : TSIG.com TIGI (formerly TSIG)
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To: Ditchdigger who wrote (31092)6/13/1999 5:43:00 AM
From: Ditchdigger  Read Replies (3) of 44908
 
Here is a quote from the RB thread, which IMO sums up one of the misconceptions.."Now if alot of the PP holders are shorting we
will just have to wait until they cover to move up big time." The poster fails to understand that, if the deb holders are short,,they will not have to come into the open market to purchase shares to cover. They would simply convert the debs,which they have margined against,and cover with the newly issued shares.So you see, you get the downward effect of the short selling(if it exists),but you don't get the upward pressure from covering do to the conversion of the debs and issuance of stock......DD
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