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Microcap & Penny Stocks : FAMH - FIRAMADA Staffing Services -- Ignore unavailable to you. Want to Upgrade?


To: Jonas Grumby who wrote (11317)4/8/1998 5:01:00 PM
From: JOEY  Read Replies (1) | Respond to of 27968
 
maybe the .46 after hours trade was ANOTHER MISTAKE and it should have read .64?

Just a thought



To: Jonas Grumby who wrote (11317)4/8/1998 5:06:00 PM
From: BCfan  Read Replies (1) | Respond to of 27968
 
I pulled this from a thread called "How to help market makers short your stocks."

This is just an excerpt from someone called Pugs:

A Short Trap

The term "short trap" refers to backing the shorts into a position whereby they must cover (buy back the short position in the open
market). The only effective way is to demand delivery of all of the
shares currently held in street name. This must be done by the
shareholder.....One possible solution is a large buyer (sometimes as much as 10% of the float) who will demand delivery of his shares.

The Good News (Is there any?)

The good news is that if the trap is effectively enacted the short will HAVE to cover the position. This can, in some cases, take a $.50 stock to $15 or $20 a share - creating huge liquidity for the company and make the shareholders rich. (20-1 returns are not uncommon) Some of the most successful stocks on Wall Street are a result of an effect short trap.

Example: Presstek (PRST) -- this was a $20 stock that made shareholders a five banger when a major promoter brought in some large players to bust the short.

The Only Real Protection

The only real protection: education of investors! Demand delivery of all shares you buy!!!!

-------------------------------------------
If FAMH shareholders have to hand-in our shares to convert to ATXI, we may see a larger run-up as a result of the shorts covering? (it is as if we all are calling for our shares.)

I'm not sure how to link another post. (Someone educate me.)
But that thread is pretty interesting.

BCfan



To: Jonas Grumby who wrote (11317)4/8/1998 5:07:00 PM
From: BradMan  Read Replies (2) | Respond to of 27968
 
Jonus,

Reg S?

Offshore?

Are you speculating, trying to cause a panic, or is there any substance to what you are saying?

Thanks