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Microcap & Penny Stocks : THE OZONE COMPANY! (OZON) -- Ignore unavailable to you. Want to Upgrade?

To: Amy Mitchell who wrote (1316)	11/18/1997 4:28:00 PM
From: Marlin C. Harmon	Read Replies (1) \| Respond to of 4356

What, no posts by Fred anymore? I better call Joe and see what Joe, who was one of Fred's most trusted friends did with his sweaters.

To: Amy Mitchell who wrote (1316)	11/20/1997 3:45:00 PM
From: Cents	Respond to of 4356

Amy, I have been thinking about some things in your post for a couple of days and I realize I am not an expert in shorting! Always being one to recognize my own shortcomings, whatever they may be, I have asked a friend of mine who I consider to be an expert on this subject to post here on the subject of shorting. He has agreed to do this and I hope to see a post tonight. I can't wait to read it! Cents

To: Amy Mitchell who wrote (1316)	11/20/1997 4:14:00 PM
From: Ga Bard	Read Replies (1) \| Respond to of 4356

Amy I have to disagree since I mainly deal in shorted stocks. MM Banks etc. (the Professional Financial People) Can short any stock even under $1.00. Once the restriction is lifted then anyone can short a stock. Now they short a stock to keep it liquid and that is the main reason. However MM research is the best in the world and they know when to short and when not to. a market maker DOES NOT HAVE TO COVER THEIR POSITION!!! I totally disagree with that statement. Certificates available on the DTC tells the MMs how much they can expect to short. Sometimes during the normal trading day they even naked short. Once certificates are called for the MM or short positions have to cover their short posistion on those accounts. Also if a company retires shares they will have to cover their short position. Regardless of cost of market a short has to cover when the position they shorted is sold or called for in certificates. Another way a short position has to be covered is a partical DTC transfer, the short position does not transfer witht he stock. Another woeds as the price rise and they have not covered and they have a short position on an account and it sells they have to try and buy the shares. Only one way not to have to cover is the company going out of business. There's no way of knowing a market makers' short position in OZON. Wrong again the company knows exactly. They get a DTC report of all shares held in accounts. say 50M issued 25 M in insiders and 50M is on the DTC that is in the public accounts it is apparently a short position of 25M the company would know about. Cetificates called are taken out of public account s and so the DTC reduces the amount in accounts. Now once the account shares are removed and no longer in street name the short position attached to that account has to be covered. If enough stock is called for the short positon have to get them from the company at acording to SEC a max of what ever the highest public offering has been and pay the company that or go to the open market and buy them. Typically they raise the bid to acquire them. If enough certificates are not called for they can cross trade to cover short to an extent. Typically caught short spread the bid and ask way apart to stop buying and wlak the price down on midpoint buying. Gosh I could write a book on shorting. EUTO MIDL CSCA IKAR and many others I know have shorts caught. Any buying pressure the stock goes up in value quickly. Just have to learn and know what to look for. EUTO went from .004 to .20 then settled to .08 - .10 and it is not over yet. You would be real surprised just how much people do not understand shorting and how to get the short to cover. Heck BUYING will nail one and there is also a square up date each month to keep the shorts in check. Gosh I will shut up now, on soap box. GB