GREY:KXLAF - Post by User
Comment by
red911on Feb 02, 2011 1:01pm
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Post# 18062742
RE: RE: Shorts...
RE: RE: Shorts...I see the 700K shorts as of Jan 15th as an abnormally large position that came out of nowhere that could possibly explain recent weakness here. If this is the case... IMO and IMO only... the selling we saw to 23 cents was likely overdone given the prospects here going forward. Therefore, my point was that a stock like PDG that has been driven down by shorts sometimes represents a buying opportunity. All JMHO of course.
"An increase in short positions usually means there is an expectation of further weakness"... Sometimes but the length of that weakness is always variable. The period of further weakness seems to have come and gone re: PDG.
"when shorts cover it usually means they believe a bottom has been set."... Sometimes but not always.
"If you had taken that view before the current 700K short you would have lost...."...Evaluating possible strategies/opinions after the fact to find fault is easy. What's your trading strategy re: PDG?
red911