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Non-Tech : Radica Games (RADA) -- Ignore unavailable to you. Want to Upgrade?

To: Gary105 who wrote (2804)	2/23/1998 2:30:00 PM
From: mod	Respond to of 7111

Gary, I'm not sure FAHN is shorting for their own account. I checked out their web site and EDGAR filings, and they appear mostly to be a retail brokerage firm, not really a trading house. They do have an analyst who does small cap/leisure stocks, maybe he suggested shorting RADAF to their brokers. Or maybe a large customer is working though them. So far today, RADAF has traded 81,200 shares at the bid, and 184,300 at the ask. FAHN has been fixed at 16 5/8 ask since 10:50 this morning. With the spread locked at 1/16 again, I guess we can say this for FAHN, they sure know how to narrow a spread on a NASDAQ stock! Dennis

To: Gary105 who wrote (2804)	2/23/1998 3:12:00 PM
From: Wayne	Read Replies (2) \| Respond to of 7111

Gary, Here is some general information on the past 5 quarters. We have made the comments from time to time how Radica always seems to sell of after it reports on the quarter. This, in fact, is not the case and with a little homework I've concluded the following. Q4 96' post earnings release, the trend was up. Q1 97' post earnings release, the trend was down. Q2 97' post earnings release, the trend was up. Q3 97' post earnings release, the trend was down. Q4 97' post earnings release, the trend was down. Would also add that the progressive increase in volume the week leading up to the report indicates that we should start to see some increase very soon in daily volume. If so, this is going to make it very difficult for the shorts to hold the price down, IMO, for the whole week. In all of the cases above, except Q4 96', the prior to release weeks volume marked an increase in share price as well as a increase in volume vs the prior week price and prior quarter volume. If the shorts are going to play the game of trying to hold the price down in front of the report, it seems to me that they are not going to have much time to chew between bites. It will become more difficult to do this as the week progresses. Any luck this strategy does have will work in favor of share price post report as the stock will then be just that much more undervalued, provided we are not missing something huge like the factory burned down and Radica forgot to mention it to the shareholders. In summary, I again do not think the shorts are a big concern. They may be helping to set up a post earnings run if in fact they do manage to hold the price down to some degree pre release. Due to keeping the stock more undervalued as well as a possible squeeze post report. Provided our numbers are reasonable, it will take one hell of a mentality to keep shorting post report for an extended period. As far as the always sells of after release concept, this isn't true. We are 2 for five and under valued. Also with Q4 97 still needing to be factored in, I think we are due. All IMO and FWIW. Best to all, Wayne