Resverlogix Corp. (RVXCF)

[growacet]

I'm ready for anything next week.....

This PP with Hepa....it strikes me that, at worst, its a push, that's my opinion. In other words things are no worse than they were before it was announnced.

Prior to the placement we had a 68.8 million dollar loan hanging over our heads with the prospect that a default could result in Eastern walking off with pretty much the whole store.

Now that sword of damacles has been removed (assuming the PP is approved of course) but it came at a significant cost. So a significant issue was relieved at a significant cost....hence why I consider it a push.

But naturally my opinion isn't worth much...my point of view combined with a bus ticket, it will get you a ride on the bus. Did the market overreact? Whether the market overeacted, undereactected or got it just right...it is what it is....the stock moved down sharply, losing 20 cents or over 11%.

So what's coming next week? As the first line says....I'm ready for anything.

Looking back to the June overnight financing arranged by B&B....the stock nosedived then too. It went from over $2 and fell sharply for a couple days...settling around $1.45...but then it continued falling at a slower pace, going under $1.30 by June 23rd.

That drop was aided by short selling which jumped by over 600K in the wake of that financing deal. Obviously shorting 600+K shares and dumping them back into the market with RVX being so thinly traded....it was going to have a big negative impact on the PPS.

Friday's volume hit almost 180K, which isn't a lot when you think about it....but for RVX its massive when compared to recent norms. Was some of that increased trading the result of short selling? We should have a pretty good indication come Wednesday when the short interest is updated up to and including this past Friday.

But by then its possible the short position could grow even more....last time the PPS cratered down as low as $1.25 I picked some shares up at $1.35....and I'm going to be ready again because I do think history could repeat. Although lately I've been accumulating warrants instead of shares.

There's certainly ample reason for the triumverate of FUD to come into play...Fear that TSX approval won't be forthcoming, uncertainty about the outcome of a remedial delisting review, doubt about BETonMACE actually succeeding.

On the other hand....with over 175K already short as of the last update to Sept 30th...maybe those behind the short number, perhaps they'll decide that's enough risk right there and look to cover.

As I say...I'm ready for anything, RVX has gone from being very dull to very interesting.