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Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?

To: BDR who wrote (13356)	9/2/1998 11:39:00 AM
From: BDR	Respond to of 18691

I have seen the following posted on the threads of two stocks with a large short following (VVUS and CCSI). Can anyone explain to me what the implications of this regulation are and what it would have to do with the average short? NASD regulation UPC118 God_Tiger Sep 2 1998 1:11AM EDT Mandatory Close-Out for Short Sales When a Nasdaq security is designated as a UPC 71 security (that is, if it has a clearing short position of 10,000 shares or greater and is equal to one-half of one percent of its total shares outstanding), NASD Rule 11830 (formerly UPC Section 71) requires that any short sale for a customer or for a members own account be delivered no later than the tenth business day following the settlement date. If delivery is not made, the member must close out the sale (cover the short) for cash or guaranteed delivery.