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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?


To: t2 who wrote (15570)12/13/2002 11:46:03 AM
From: Dan Duchardt  Read Replies (1) | Respond to of 19219
 
btw--the same shares cannot be borrowed twice to short.

I certainly don't know one way or the other, but if this is true I see only 2 ways of achieving the limit.

1) Shares that are purchased on the other side of a short sale would have to be flagged as such and not made available for short selling. I've never heard of any system that keeps these manufactured longs identified as such. Do you know if one exists?

2) The total number of short sales cannot exceed the number of shares outstanding (or perhaps the float), but all longs have equal status regarding borrowing for short selling. Since short holdings are only reported monthly, this would not seem to be a very reliable method for maintaining the limits.

Can you tell us how it is done?