Traxion Sab De Cv Ord Shs GRPOF

RE:RE:RE:Tbp make it top 4 shorted stocks

[ledrog]

I have no issue at all with short selling....I agree with the sentiment that it is an essential element of the market as it increases liquidity and moderates volatility.  

Short interest here up for trades settled up to June 30th actually comes in at over 7.8 million.  Before going short bears are supposed to make 'positive determination' that the shares they're dumping back into the market, that they are in fact available to be borrowed.  

I give bears a lot of respect because of the risks associated with short selling...compared to going long the risk is massive.  While a stock can't drop below $0.00 obviously, theoretically there is no ceiling on how high a stock can soar.  Years back CYNK was trading for a single nickel, then it a classic pump 'n dump it went over $20....

While I respect bears its still possible for them to get burned....and imo that can happen when too many storm in at the same time.  Just as bulls can get caught up buying into irrational exhuberance...bears can do the same in reverse, piling on too much and exposing themselves to the risk of a short squeeze.

Up to Friday's date when that Buy-In report was produced bears had failed to deliver over 700K of the shares they'd sold.....to my way of thinking taking money from someone for shares and then not delivering them, that is akin to fraud.  

Watch the trading around 3PM each day and keep checking the Buy-In list....at 3PM the TSX has a locate facility that tries to locate sellers to satisfy these delivery failures and the shorts have to pay a premium (about 10% from what I've seen) above where the PPS is trading at that time...a 30 cent stock will see trades for about 33 cents.