RE: BlackBerry and the Short Sellers In my opinion, when almost any positive news comes out the short sellers will start te be in a world of pain. And if there are multiple positive announcements in a matter of a week or two, well you will see the price start taking off.
The reason I say this, as you know there is a huge amount of shares sold short and the days to cover do not give an accurate picture of how long it would take to close out all the shorts.( I know that all the shorts are not going to cover.)
The 10 day average of shares traded on the Naz and TSX right now is 30 million, that means 300 million out of 524 million shares have changed hands. But has the 300 million shares been bought by new investors? I very much doubt that, maybe 5% to 10%. The rest have just been traded back and forth by daytraders and HFT's. That means that the 6 or so days to cover is no where close to being accurate, I think it is closer to 40 to 50 days unless the volume increases substantialy and if that happens then the share price would also follow suit.
I welcome any feedback on my thoughts.
Sumcan2