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Microcap & Penny Stocks : MSU CORP-----MUCP -- Ignore unavailable to you. Want to Upgrade?

To: ThirdEye who wrote (4478)	7/8/1999 12:43:00 PM
From: Hawkmoon	Respond to of 6180

Cuz it ain't all those 144s from January-Feb-March. Don't you have to sell 144 shares within 30 days or refile anyway? I think you're right. It's not the Capitol Bay 144 sales that have been hammering the price. And they have to refile withing 90 days as I understand it, if they have not sold the shares. But what essentially I think is happening is that we had a tight run-up to five, some short covering, and then we gapped up at the last run to seven. Eventually all gaps are likely to be filled unless something of tremendous fundamental significance frightens the shorts off from positioning at those previous prices. But the volume on the retracement has been light which indicates that substantial shares may have been taken off the current market and any mmkr who was short during the gap-up is trying to shake shares out from any weak sister momentum players who overstayed the party and want to cut losses. But personally, I opine that there are short-positions that may extend back several years where some folks believe MSU was a dead company and used their short as a "carry-trade". But the only negative side of that scenario is that it seems incredulous that these folks would have failed to cover their shorts when the stock was such a low price. On the other hand, it the short positions that were adopted were more than the actual number of shares actually in the float (which is possible), then it would be in their interest to continue to hammer the stock and drive it down to nothingness. Now these are speculative views on my part and may or may not reflect the reality. But what I really look at is the support that MSU has obtained from committed shareholders and the fact that they felt confident enough to walk away from an overly dilutive placement and instead accomplish one on their own. That means some people believed in the company enough to but $3.5 million their way with restricted shares for 3 months. At least it is my understanding that the MSU direct placement was restricted shares and not a convertible note. But no stock traded today. For the moment, we have an impasse. Regards, Ron