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Gold/Mining/Energy : Nuvo Research Inc -- Ignore unavailable to you. Want to Upgrade?

To: DaveAu who wrote (9146)	4/8/2002 1:10:54 PM
From: Cal Gary	Respond to of 14101

Hi Dave, We've been in some form of hedging operations since the beginning of the year. And now there's the copy cats. :) I come to this conclusion given DMX last draw size. Another fact is the accomplishment of raising almost $16mm dollars YTD in difficult secondary markets thats showing signs of returning to anemic PP activity levels, ie HML's recent $22mm PP. Only 3.1mm additional shares were issued so far. Any good news and these shares can be sucked up and tucked away from the float. Another speculation I've drawn is that 1. the real AW agents have banked so much on the short side, its possible that a. there is enough hedged for DMX to draw a large amount without the banditos needing to go heavily into the markets given the 20 day period and low daily volumes till expiry of the agreement. Remember expiry is [end of] May 2002. b. if DMX doesn't draw again, these agents will have a hole in their holding. They don't necessarily have to go back to the market to replenish. But definitely an opportunity cost given the potential of missing the boat. 2. It takes time to accumulate a large position given the low daily volumes. So these agents must have something in their back pockets. Perhaps a sweet-heart cross might happen to replace hedged shares. Else its back into the markets on the bid side. 3. The copy cats, they needs to replace their shares!! They got an easy time at current prices. Not much of a challenge for the shorty. 4. Healthy Accum/Distribution and money flow. Why? Especially with the price erosion? Perhaps its Joe's drip bucket, accumulators getting easy purchases. Or maybe its the shorts covering. Again easy purchases. 5. The market interest for DMX shares appears to be fading based on price. So we do need more milestones and news or even president's update. FDA "With great comfort and great confidence"