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


To: 1-DAY-TRADER who wrote (13700)9/13/1998 2:28:00 AM
From: craig crawford  Read Replies (2) | Respond to of 18691
 
>> I am fully invested, so I have no worries about Margin calls <<

Huh? Isn't that when risk of a margin call is greatest? When your fully invested?

>> I only wish they bring up to mid 70's, before dumping the 40 million shares within few more weeks, <<

There is no guarantee that 40 million shares will be dumped on the market. Just because a lock-up expires doesn't mean the shares will automatically be sold. Once again I will refer to the CIEN comparison. Last year shorts made the erroneous argument that 10's of millions of shares released from a lock-up would hurt CIEN's stock price.

Let me tell you what happened.

A) Not all the shares which were available to be sold were unloaded onto the market after the lock-up ended.
B) Ciena was even able to unload a secondary offering onto the public without causing the price to drop.
C) After the lock-up expired and the secondary was completed the stock STILL found enough buyers to DOUBLE.
D) After all the CIEN shorts gave up on the company, THEN it plummeted.

Timing is everything.