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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: Greg Hull who wrote (19896)	12/26/1998 3:18:00 AM
From: Eleder2020	Respond to of 29386

Steve-I agree that the charts look great. You gotta like the trend as well as the momentum for FC. In regards to the Reg D holders it probably is best to just consider that their are about 25 million shares outstanding.I think it is pretty tough at this point to figure out who hold what.I am optimistic of the short term in light of the lack of selling on low volume we experienced last week.I still think we will hit a mid day low one of these fine days of about $3.60-$3.75 testing the 200 DMA as well as the lower Bollinger Band.If we succeed in bouncing off that...... My understanding is that the largest Reg D holder shorted and sold and that Tailwind has sold or they at least registered to sell around 270K shares.See the 144 filing.The Tailwind representative on the conference call indicated as much. If they had 1/4 of the financing that would mean they are still holding about 3 million shares. My understanding of shorting the box is that the tax advantage comes if they don't close out their short for 18 months which lowers the capital gains by 8%. In a pure case of shorting the box, the short would be left uncovered indefinately to avoid paying taxes. Since the Reg Ders probably borrowed stock in advance of their receiving their stock certificates, they probably have to eventually return that stock to the lender.If I were a Reg Der I'd hold onto my certificates for 18 months to lower my capital gains tax if the lender was Okay with that. Either way they have the certificates in the safety deposit box to cover the short now or in 18 months. This covering shouldn't effect the price of Ancor either way IMHO. Happy Holidays to all, Ed Any AOL users having trouble with the copy and paste function on SI.