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To: Lucretius who wrote (90298)4/5/2001 9:02:36 AM
From: AllansAlias  Read Replies (1) | Respond to of 436258
 
One needn't wonder why this gets violent.

Stage I: Market drains relentlessly with genuine selling and increasing short positions.
Stage II: Market is goosed and shorts run for cover, spiking the mess but good.
Stage III: Market begins to fall again, but wait, it keep falling. Hmmm... those evil shorts they drove out are not there to support prices.
Stage IV: Market overshoots to the downside. Go to Stage I...