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Gold/Mining/Energy : Arcon Energy (MIDL Presently) The Ultimate Sleeper -- Ignore unavailable to you. Want to Upgrade?


To: Osiris who wrote (2384)6/2/1998 9:27:00 PM
From: Harry_Behemoth  Read Replies (2) | Respond to of 4142
 
I thought that the discrepancy between the W and Common prices would be resolved by a net BUYING of W (with an increase in price) and SELLING of Common (with a decrease in price) stabilizing around .50 for W and $1 for Common.

There was plenty of buying of W, but there seems to be plenty of supply to be had. There is just more common equivalent around right now than demand for it due to the warrants coming into play. A significant amount of $ has been sidetracked into the P...an excellent long term play but does nothing to support the current Common price.

This temporary glut may well provide one last buying opportunity before the big investors arrive with the next big news.

Could be wrong though. ;-)



To: Osiris who wrote (2384)6/2/1998 11:07:00 PM
From: Ga Bard  Respond to of 4142
 
Arbitraging rules. Also people selling common to exercise warrants and buying some P. There is a lot of possibilities ... however the stock is stablizing on the trilogy. People waiting on the xdate for the split, warrants getting exercised and shorters not wanting the warrants exercised.

Now the warrants rule the roost I grant you. I will be glad when the warrants are trading higher than the common and the common follows. No arbitrage ...

Frankly I dunno

GB