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Non-Tech : Inside Trading

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To: Jeffery E. Forrest who wrote (45)10/15/1996 8:47:00 PM
From: Guy Gordon   of 62
 
Jeffery: You won't win any debates with statements like "man are you confused", "I thought you were more farsighted", "I can't beleive I'm even hearing something so outrageously ignorant of how the market works.", "You are VERY confused...", "Go do some homework"

All of which appear in on post without a single counter-argument or fact. You react like I'm attacking your pet dog. Try again.

I claim the market would be better if shorting were more difficult. Let's argue this point. Rationally.

Yes, I am quite aware that "Shorting is a legitimit form of trading thats been with us since trading began." I am arguing that it should NOT be.

Please note that insider trading has also been with us since the beginning. We learned that laws to restrict (not eliminate) insider trading were necessary to protect the market. Small investors rightly felt cheated when insiders could make short-term profits on privileged news. Insider trading is still allowed, but only on a longer term basis. And it is very profitable to follow insider trading.

P.S. I am not defending Solv-ex. I don't know enough about the company. I mearly brought it up as an example of shorters attacking a company. I would be very happy to learn more about it from you.

I also think that a campaign to register shares is a fine example of a company "manipulating" their stock price for the benefit of the shareholders. Other forms are stock buy-backs, stock splits, and spin-offs.
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