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Biotech / Medical : HEB, Hemispherx Biopharma (AMEX)NEW -- Ignore unavailable to you. Want to Upgrade?

To: Gerald Walls who wrote (549)	11/4/1998 12:10:00 AM
From: Mama Bear	Respond to of 857

"Also, looking at the successful 19-0 streak he claims so far I'd bet he could even afford to lose one." I'll say this, I have been following Asensio since May of '97 when I shorted SOLV, and was impressed by his research. I can't speak for the time previous to that, but there have been no deletions of formal strong sell recs from his web site subsequent to that time. I'm not sure if you can call BVF a winner. Barb

To: Gerald Walls who wrote (549)	11/4/1998 7:32:00 AM
From: Gerald Underwood	Read Replies (1) \| Respond to of 857

Nice to see the true colors come out. You made yours apparent. Now we can read you in all of your garments. Disinterest my a*&. Gerry

To: Gerald Walls who wrote (549)	11/4/1998 10:38:00 AM
From: The Street	Respond to of 857

<<Yes, I remember feeling good when IPMCF, the scam I was sucked into, moved up against the shorters. And it did, many times. Alas, it didn't last. Maybe this will. Maybe not. IPMCF had a strong buy recommendation from a no-name firm, too<< Ahhhhhhhhhhhh!!! I lost $10k on that fiasco! That idiot Frank got me on CompuServe....

To: Gerald Walls who wrote (549)	11/4/1998 12:44:00 PM
From: Marty	Read Replies (1) \| Respond to of 857

I don't know anything about IPMCF or shorting in HEB going on before the short sale recommendation or how much Asensio can afford to lose, even with his track record. I confess to a little gloating as well, which wasn't very nice of me. The thing that does interest me about the post is the math on the short position. This situation probably parallels the IPMCF situation as you described it and what may have been discussed regarding the shorts running for the door, The mathematics involved with a very large short position in combination with what I believe to be the trading tendencies of short sellers makes for a very explosive upside potential for the stock. Given that Asensio is unlikely to tell his followers when he will cover, there is a mutual suspicion circumstance. It depends on them all holding together and not covering because a runnup could ensue if they all bought back their shares at or near the same time. So who can stand the heat the least? (Old proverb: "When thieves fall out, thefts are discovered.") The same thing is NOT true, I submit, on the long side. There is X amount of stock that is held for long term investment, regardless of the day to day fluctuation. A portion is held by insiders and the rest by a whole range of strong to weak hands. The longs can hold to zero and that is the end of it. There is no end to the amount the shorts can lose. Basically, I think ALL the shorts check the price at least once a day. That is not true for the longs. So the short position is a lot more tenuous by nature and this is probably borne out by other similar examples. Aside from telling what happened in other examples, what is wrong with this reasoning on what causes short squeezes? Why isn't HEB ripe for one now?