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Microcap & Penny Stocks : VLVT (was CSMA) -- Ignore unavailable to you. Want to Upgrade?

To: TraderGreg who wrote (196)	11/9/1997 7:34:00 PM
From: TraderGreg	Respond to of 11708

Above all else:ÿ Request your stock certificates from your broker. This action is absolutely mandatory.ÿ In fact, requesting your certs can be more positive than even buying.ÿ Some background: When I first requested my stock certificates from my broker at Scottsdale, (Yes Shorty, I have my shares at Scottsdale , but you knew that already didn't you ShortSlime?), my broker said that it wasn't necessary for me to do this because my shares were in a cash account and since CSMA wasn't marginable, the shares could not be loaned by Scottsdale to prospective shorters.ÿ At the time, it made some sense but then... I thought about it.... and realized that non-marginable stocks are always being shorted, so what's going on here?ÿ Further research and readings provided insight. I believe that there presently is a strong possibility/likelihood that my safe cash account shares have already been shorted against.ÿÿ Scottsdale says not, but I believe that part of the strategy that shorters use is to identify the repository where shares are maintained and to short against those shares.ÿ Keep in mind, these shorters are different than you and me. As wholesalers, they don't have to request that their broker askÿthe "longs" broker to borrow shares from the long client's account.ÿ They just do it.ÿ Why?ÿ How?ÿ Because the shares are there, identified for the shorter to see.ÿ This process is not subject to traditional oversight. Remember, this is the Bulletin Board.ÿ They seeÿ 'em, they short 'em, and often times, theÿ same shares are shorted more than once. Kind of like the Mayor Daley philosophy:ÿ Short once, and short often.ÿÿ You may think this is quite presumptive of me to say so, but how else can you explain how a beaten stock gets beaten further and further?ÿ I have seen stocks at 3 cents get shorted. Other than strong buying, how does the naked shorting stop?ÿ Only when the long calls for their certs.ÿ At that point, accountability must occur.ÿ Let me give you an analogy.ÿ You're at a baseball game.ÿ How do you know the person next to you has valid tickets?ÿ You don't.ÿ Until someone else with the same seats shows up.ÿ Stadium staff then are left to figure out which one has the bogus tickets.ÿ By the same token, our calling for our certificates is the day of reckoning. My broker says it takes any where from a few days to a couple of weeks to get the certificates.ÿ But I have often read of people who have had many weeks go by before receiving them.ÿ Hmmm?!?ÿ Would it not seem logical that shares shorted on the QT or double/triple shorted create some delays in ultimately getting the certs back to the legitimate owner.ÿ Point in fact, I believe those extraordinary delays that have been anecdotally reported on other threads are the discovery of undeclared shorting and the resultant unravelling/covering of short positions that must have occurred to provide those shares to the proper owner of record.ÿ Thus, 1000 shares shorted may require 1000 or 2000 or 3000 or even more buying to return those 1000 shares to their proper owners. You all may think I'm crazy, but what do you have to lose?ÿ It certainly can't hurt to call them in. BTW, if I am right on this theory, we will see the stock rise sharply before we receive our certificates.ÿÿ And all of usÿ will mysteriously be told by our brokers that they have had some trouble getting the certificates to us. To paraphrase Franco, TEN BAG CITY MARYLAND.ÿÿ GET SHORTY TraderGreg