Applied DNA Sciences Inc (APDN)

[hock1]

pasta...My take is this: Much of the volume in the market today is nothing other than hedges, algos and HFTs. They thrive on a situation like that of APDN. They look for situations where there is a lot of interest and an accompanying sharp upward movement in the stock. When the stock took off this morning, fueled by new interest and less-sophisticated traders, much of the stock sold to these buyers was shorted in the $8.50-9.10 range. These are not shorts that locate and borrow shares. They are manipulators who, thanks to the Madoff Exemption, can sell shares short without having to borrow. They have until T+3 (3 days) to buy back these shares.

So, after putting on the short, they then short more on downticks to create fear in those who just bought or others who are long and are afraid of giving up the profit that they have. These shorts, who have no intention of holding their position overnight, are now in the process of closing out their positions with a pretty good profit (as much as a point or so). I would expect, with the selling drying up, they will lift the stock in order to close out the position before the close. This is what our markets are all about today. JMO.

Sad.