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Technology Stocks : RadiSys Corp
RSYS 1.720+0.6%Dec 11 4:00 PM EST

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To: Richard Karpel who wrote (602)4/25/1997 6:30:00 PM
From: D.J.Smyth   of 1472
 
Richard call your broker to get the full explanation if he's got one. Basically, the shorts believe that increased demand for shares on the long side indicates the top or overbought condition, thus the lower interest rate available for shorting. The market makers help create these conditions. Shorts automatically short stocks "on special" regardless of the stocks future viability and cover when the stock comes off special. One way to keep the shorts from getting the lower interest rate is for longs to request their shares from their broker - with no shares available for shorting or borrowing, shorting is difficult to do. Radisys stock is still considered in great demand, and continues to be "on special". Once it comes off special - well, then you should see a pop in price.
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