Rubble, you could be right and I wish you luck.Peronally I am not attracted
to the situation because there are too many variables.
Vivus has been down to 25 1/4 today.I suspect strongly that there
may be market manipulation by some major stock holder-&/or-brokerage
house.My understanding is that even though Merrill-Lynch has no stock
available to short that does not mean somebody else doesn't have it.
The rules for selling short ARE NOT ALWAYS FOLLOWED to the letter;
NOT EVERYBODY for example follows the rule that a broker must have the
stock in hand before selling it ( or at least a certain percentage
of it ).So I can see how an unscrupoulous (tsk tsk, are there any such
brokers left over from 1929??!!) brokerage house could sell Vivus short,
FAR IN EXCESS of the stock they actually own!!!! Then if somebody looks
for it (like the Fed Sec Comm ), they just go in the street and buy it.
what will people do for a buck!!!
So the thing to do here for ANYBODY HOLDING VIVUS STOCK, is
- don't panic and sell, even if the stock hits the 200 day moving average
of 20-22 because I am 100% certain that in the next quarter VIVUS
will be >32.
- Don't put sell stops because this will just feed a short sell spree
by these goodfellows.
- Between 25 and 20 I would see it as a buying opportunity to average
down if you got in above 25, or, just to get in in the stock.
I note that Dane Bosworth started coverage on july 28 with a buy.they look
for '97 $1.08,'98 $1.61, and '99 $1.85. I think these numbers are
ULTRA conservative and I am looking foe $2 in '9 and $4 in'99.Their
growth rate based on the above is 50% in'98 and 15%in '99;I think they
are wrong.
TA
PS I also don't think there is a snowball's chance in hell that the
FDA will crimp the output of Muse/Vivus , being THAT IT IS THE ONLY,
repeat, ONLY, proven cure for ED dysfunction in the whole world.!!!!
TA |
