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Yep thanks SA,
Just giving credit where its due.
Take a look at PBLS when you have time.
Announced a guranteed buy back, stock lockup and coming into line for full reporting.
There was a glowing post from one investor on Monday who visited the company and was given the full tour.
This ran to 0.015 a couple of months ago.
Reckon its good on value to 0.025.
Nice call on WDAM SA
PBLS
Long wait for you Coy,
Sorry
Not only a guaranteed buy back but a lock up of company held shares and move to full reporting company.
I take it you read the glowing report by one investor who visited them ?
Its on its way ..........
GLTY
Morning Lady, Art All
Perhaps this explains the kick
From EVO
EZTO has a search engine, Baidu.com is IPO today, i said watch EZTO incase it gets momo based on it being in the same sector as the big IPO today...Baidu.com is said to be the Google of China
EZTO
Can you clarify your source pls EVO
PBLS
Thats saying they have faith in their company.
There was a glowing post on Monday from an investor who had toured their operation.
I smell the hand of a predatory Australian Man !LOL
If it has got his interest, and it should for quite a few reasons, then we could be in for an interesting and rough ride.
If this flies it would be a real threat to his empire.
TA may be out of the door here.
VSUS
SA I remember you called a bottom buy for me last week on it at around .35
Nice call
It had been in a channel of 0.85 - 1.20 for weeks.
Want to call the short term top ?
While I think about this
A good explanation on boxing (hedging)from Mid
Maybe useful for 'school'
GLTA
<Mide I'll ask, I don't short, so know very little about the subject you add here. Could you explain what BOXING is all about?>
I thought I was being clear about how I play stocks now in all my previous posts....but I guess I was a bit elliptical, so I'll correct that.
Some history is in order first. Daytraders actually created the popularity of "boxing" positions back when I was one in 1999-2001 on a fairly regular basis. They (we) were the pioneers that started it to success and subsequently drew the attention of funds that decided that it should be called "Hedging" one's bet. Thus Hedge funds were born, off the backs of the independent daytrader boom and bust. The funds took our early rudimentary lead and subsequently refined it to a science that baffles retail to this day. It's really elegantly simple.
A true "Box" is a neutral position. You can not lose or gain any money...per se. What it does is allow you to "lock" a long profit position at a top. Subsequently, when the "Box" is lifted, hopefully after stock sinks (quite common in 2000), you then can use the proceeds from the box short to either bank the funds, thus lowering your effective "nut", or add more shares.
I believe the term "BOX" comes from this....you are shorting exactly the number of shares you hold long at some point, effectively 'boxing in' or locking in the profits you made on that stock at that point of execution.
An example:
I own 1000 shares of GTE. It is now at $4.00. I bought them at $1.00. I have a paper profit I don't want to mess with for tax and long term objectives of $3.00. I do not like technicals and broad market pressure and company timelines...whatever.
I decide to short my own 1000 shares at $4.00. That's the "BOX". Now if the stock dives to $2 and then turns...I still have a $3 profit! The math:
1) Orig 1000 shares at $1 (Cost $1,000)
2) PPS at $4 (Value $4,000)
3) Sell short 1000 shares (Cost $0 )
4) Profit locked at $4 ($3,000)
5) Stock drops to $2 Long value loss (-$2,000)
6) Stock drops to $2 Short value gain (+$2,000)
So at $2 you still own a stock with $3,000 of profit in it at this point....a totally "neutral" position on a stock that dropped from $4 to $2! You locked that profit in at $4 with your "BOX" short! Now it can go the other way..up from $4 and in that case you lose those gains from $4 as well....but you never lose the $3 gain!
Now back to my example. You now, based on gut, TA or FA, decide to close the "BOX" out. You simply rebuy, or cover your short stack. Now you have $2,000 in cash and you have at $2 a $1,000 paper profit on your original buy. What to do?
Three choices:
1. Nothing. If it goes back to $4 you now have $2,000 cash and $3,000 in paper profits again...all of this off of a $1,000 original investment (commissions aside or tax stuff). a 500% asset increase. (Looking at it from a cost view..you own the stock at - $1,000.)
2. Buy 1000 more shares at $2 with your cash gains and double your holdings so when it gets to $4 again you now have $3,000 off first 1000 shares and $2,000 off the second 1000 shares paper profit.
3. Or some variation on the two above.
In my opinion, the hedge boys do all of the above constantly. As you can see it is quite profitable with even tiny moves in a stock. Then they layer on the naked stuff during the day with swaps (borrowing cover shares as needed) and they raid retail unprotected shares bought in cash accounts vs. margin accounts...Type 1 vs Type 11 accounts to short.
This is how the game is played everyday,and you can thank retail daytrader pioneers for teaching the class 101 in this 5 years ago. I remember the first poster on a stock board I was on at Yahoo, who posted a day trade in 2000 on a rapidly declining stock. He announced he boxed his shares short and made a profit. He was booed off the board and hounded as a charlaton.
"Box" shorting is smart and is a "Neutral" position. It says nothing about the executors intent regarding a long or short opinion the fundamentals of the stock or company.
It says everything about the executors intent to preserve capital to stay in the game.
INSN
Very nice SA
Thanks
0.008 next ?
Someone bought a share or two,
Cardinal
Murdoch eh
That explains SO much.
If anyone can obtain an actual original copy of this article
please let me know.
It may be. depending on how we are effected, that we as shareholders could join suit.
It is actionable IMHO
I hope GTE file suit.
I dont see any attempt to obtain comment from Globtel at all.
evening guys,
Away like everyone playing more positive things for the time being !!
Tell you what we could do 7 is factor his invoices.
Or get him a loan based on his confirmed order(s).
Now why cant Tom do that ?
Cervaza time
GLTA
Been there
Just make sure its HER genuine wishes.
Thats the tricky one
Tough decision.
Squaring the books at the end of day I would think?
Bit of luck maybe,
Not dumb at all.
Incidently the SHO list still shows another days grace!!
GlobeTel Communications Corp - GTE
Trailing 12-Month History
Month Short Interest Revised
Short Interest Indicator % Change Average
Daily Volume Days
To Cover
Jul 2005 2,411,889 400.46 1,208,119 2.00
Jun 2005 481,934 N 797,464 1.00
With the exception of current month's and previous month's reported short interest, all historical amounts have not been adjusted for revisions.
Yep,
This was a last day to cover for a load.
Maybe this is some of them.
Needed green, everyone was depressed here.
(Well nearly everyone !!)
Been staying away and churning a few others while we wait.
GLTY
Mide
Congrats,
Looks like that 2.02 buy was spot on.
Impressive !!
Another viewpoint on the subject
This is from a retired MM not me! This also point out how a stock becomes naked short!!!
Market Maker Speaks Out: Ways of a Market Maker
I was an OTC MM for about 10 years ending in the late 80's. Since then I have been strictly an investor. Since I have not been that up to date in MM rules I will only make statements that I feel fairly confident are still accurate regarding these activities. By and large most MM don't have a clue nor do they care to learn, about the fundamentals of the stocks they trade.
They just try to make orderly markets. When dealing with BB stocks it is very easy for a MM to get trapped into being short in dealing in a fast moving market. Reason being; most of the MM's in this stock are what are called "wholesalers" this means they don't have retail brokers "working" the stocks.
So they have to rely on what's known as the "call" from larger retail houses. If a "Big" retail firm like an E-trade calls up a market maker to purchase say 5,000 shares of a stock, they expect to get an "execution" from that market maker. If he turns them down, or only gives a partial then the "Big" firm will go to another MM.
If this second MM "fills the order" then that "Big" firm has a moral obligation to continue to give future "business" in that stock to that MM who performed (his life blood). This will go on until he "fails" to perform and so on.
Contrary to popular opinion the "Big" firms Do NOT neccessarily go to the "Low Offer" to fill a buy order (Or high bid for a sell). They "Go" to who they think will perform to fill the order and expect that MM to "match" the "low offer" in the case of a buy (bid in the case of a sell). Even though this MM might in fact be the "high bid" and not really want to sell any more.
As a wholesaler he must perform or he will get a reputation as a "non-performer" with the "Big" houses and will cease getting "calls" which means he will soon go out of business. I mentioned above that this activity is very significant to BB stocks. I say this because most of the trades in these BB stocks are "unsolicited" and are done through discount houses.
With the above groundwork laid, let me try to explain how market makers get short even if they like the Company; Lets say that a stock (shell) has been lying quietly at $.25 bid $.50 offered. A limit order comes into one of the MM's to Buy at $.50 for a thousand shares. Prior to this trade that MM may be "flat" (neither long or short any shares). He fills the order and is now short 1,000 shares. He may raise his bid hoping to find a seller to "flatten" out his position. But before he realizes it a wave of buyers have come in and cleared out all the $.50 offers. Now the stock is $.50 bid .75 offered. Here comes that "Big" firm he just sold the 1,000 shares to at .50 with another bid for 1000 at .75. He makes this print. Now he is short 2,000 at an average of .625. The market keeps moving and now its .75 bid 1.00 offered. Now he has to make a decision.
Just like investors, MM Hate to take a loss. So 9 times out of 10 he will now sell 2000 at 1.00 making him short 4000 but with an average .81. At this time he would love to see a seller at .75 so he can cover his short and make a few bucks.
But instead the market keeps moving up. Now it is 1.00 to 1.25 and here comes the buyer again at 1.25. He doesn't want to lose the call so now he needs to sell 4,000 at 1.25 to keep his break even point above the bid. Now he is short 8,000. Market moves up to 1.25 bid 1.50 offer here comes the buyer now he feels he must sell 8000 here because "stocks don't go up forever".
Now he is short 16,000. And so on and so on. If the stock keeps moving up, before he realizes it he could be short 50k or 100k shares (depending how big his bank is). _________________________
Finally the market closes for the day and on paper he may look all right in that his "break even" price may be around the closing price. But now he has to figure out how to entice sellers so he can cover this short. It is important to note that if this happened to one MM it has probably happened to most all of them.
Some ways MM's entice sellers; Run the stock up with a "tight spread" in a fast market, then "open" up the spread to slow down the buying interest. After it has "cooled off" for a little while lower the offer below the last trade right after a small piece trades on the offer then tighten the spread so that the sellers feel they can take a "quick profit" by "hitting the bid" on the tight spread.
Once the selling starts the MM's will walk it down quickly by only making small prints on the way down with the tight spread. Another way is by running the stock up in the morning, averaging up their short then use the above technique to walk it down in the afternoon.
Hopefully after doing this for several days, it will demoralize the buyers. The volume will dry up and the sellers will materialize thinking that the game is over.
Contrary to popular opinion, MM usually Do Not Cover in Fast moving markets either Up or Down if they are short. They Short More. They usually try to cover after the frenzy is out of the market. There are many other techniques they use but the above are the most popular.
This technique works about 9 times out of 10 particularly in a BB market. However that is because 9 out of 10 BB stocks are BS. Remember what I said above. Most MM's don't have a clue as to the value of a Company until they get trapped. If the Company has solid fundementals and a bright future. Then the stock will do very well. And the activity that caused the situation will prove to even help the future stock activity because it created an audience."
mide
I appreciate very much the intelligence you bring to this board, to the extent I have member marked you.
Have you factored in the short position.
Essentially 3 mill shares should have to be covered by next Wendnesday.
I say essentially only because if they are naked shorters, the buck may be passed and the GTE is out 3 mill shares.
Shorting, particularly naked shorting skues (Screws!)any TA.
Its a disease
Here is GTE on the naked short list for the past 11 days. BTW
GLQ Clough Global Equity Fund 5
GLV Clough Global Allocation Fund 58
GNT Gentium SpA 12
GRU GuruNet Corporation 119
GTE GlobeTel Communications Corp 11
GTF Cytomedix, Inc 10
Rocky, Tech ( Hi DJ didnt realise you were moderating here )
I have searched for further reference to Streichers 'indictment'without luck.
Have you been able to confirm ?
It seems we are being heavily shorted.
About 500K has to be covered on Monday
Another 2.5 M on Tuesday.
Seems we are also on the naked short list.
Whether that list includes the above or there are even more shares shorted I cant tell.
Trouble is with naked shorts, the SEC dont seem to have any control or cant do anything because invariably its off shore entities which are doing the shorting.
They just pass the buck to their buddys when its time to cough up.
But I think whoever called for a new specialist (cos he should be the policeman on point here) has a good argument !
Interested in your views. I know DJ feels much the same about this scam. Its erroding confidence.
Thanks
See you there .
No,
I did go looking over at your hideout but couldn't find it.
Could you give me the link please.
BTW GTE has a SHO of 2.5 m
I am getting some confidence erroded generally by the naked short story.
Can we PM a bit on this pls ?
Nice call S/A
joined you on this dip.
The weejie board agrees ! LOL
Thanks for what you do here and everywhere !
MAybe my screen froze !
Has there been any halt in trading on GTE ?
Trading halted ?
Spread is $2.50 !
That 2 mill short explains a lot.
Not so well as the weegie board.
I have a direct line to David Rockfella ! lol
Thanks Stock,
The feeling here is that TA may have been scewed by Cornell's antics (ie massive shorting).
And the PPS doesn't reflect the financials.
Again thanks for your valued opinion.
XRYM looks interesting still Snap
Hi Stock,
Good to see you here in the MLXO dungeon ! LOL
Would appreciate you take on the present MLXO chart!
Maybe one for Shakerzzz soon ??? !!
LOL
Thanks Snap,
Talk of a nerger between the two.
As you said pink stink.
So difficult to do a lot of TA. on the financials.
Nite !
Hi Snap
HOGC is a nice find.
Looks very good.
Would you mind having a look at
MMXT
SCMI
Gonna merger, could both pop IMO
By the way Investo, Wanto and Hurley,
Now we have all suffered this together we have all learnt something which could give us sweet payback.
I dont know if I can group PM you all here but if not would you all send my an e mail addy and we can discuss and debate !
Been considering this for a couple of weeks.
Dont worry its all legal !
Love the kid in the pic BTW.
Is it yours ?
You can shut him up for the rest of his life now, if it is.
Just carry that pic around and if the need arises threaten to show it to his girlfreind !!
I feel a better week altogether already !
Boards are beginning to hum again.
GLTY
Yea I hear you.
Have tried a few times to get a fill when it was lower.
At this point after feeling the pain for a few weeks it takes guts to buy more, knowing how low it can get.
BTW any idea what % the float is now ?