Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT -- Ignore unavailable to you. Want to Upgrade?

To: Boquacious who wrote (20956)	1/6/2001 1:24:37 PM
From: Jon Koplik	Read Replies (1) \| Respond to of 29987

Re : "i've shorted from the 40s" -- I just want to remind everyone ... If one went short GSTRF around $40, I believe that the margin requirement would have been around $20 per share. (This stuff does gets tricky. Margin calculations with short sales are nowhere near as straightforward as those with long positions in a stock. But, let's assume I am more or less correct on this ...) GSTRF has gone down almost $40 per share since the short was initiated, so ... this is a roughly 200% profit on the original money ($20 real money to "do" the trade). The people who dared to go long GSTRF around 12/31/00 (at roughly $1 per share) have a chance to make 200% profit if GSTRF merely reaches $3 per share (!). Since we have already hit slightly over $2 per share within a week, my hat is even more "tipped" to the people who went long GSTRF a week ago, than it is to the people who were smart enough to go short at $40. (But, both groups are doing great). Jon.