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Technology Stocks : EGBT - EAGLE BUILDING TECHNOLOGIES (ecic) -- Ignore unavailable to you. Want to Upgrade?

To: opalapril who wrote (2)	11/24/2001 2:20:28 PM
From: afrayem onigwecher	Read Replies (1) \| Respond to of 155

AMEX & EGBT vs The Shorts Those of you that watched the Nov 11\01 trading will have noticed that strong buying occurred up to the noon high of $10.00 with most shares being bought in the $9.75 area. Who told the buyers that a very positive release was going to be made? The EGBT release came out about 9.00am with the stock ending up at the previous day's closing price the pattern is typical of a stock being shorted. One of the major problems with the OTC.BB is that stocks are prone to manipulation by professionals. It is quite evident that EGBT is being heavily shorted, particularly around news release days. The situation will be different on the AMEX which requires short positions in companies to be made public. It will be interesting to see with the move to AMEX what the outstanding short position really is. I suspect that it may be currently fairly large but we could see some covering between now and when the stock opens for AMEX trading. A major advantage to the AMEX move is that as EGBT becomes known and institutions and mutual funds start accumulating the stock on its operating performance and investment potential, the last thing they want to see is the price of a stock being used to make short term manipulative profits. This will add stability and the EGBT stock price should become reflective of the assessed value and potential of the company. The task that managment now faces is to sell the company to the brokers' analyst community. This should become easier when the financing is announced. Given that EGBT will likely only be listed on AMEX in the next two weeks or so and with the approaching Christmas period, I believe that the announcements is now more likely to be made early in the New Year.