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Re: $tock Rev post# 27894

Friday, 07/25/2014 10:55:57 AM

Friday, July 25, 2014 10:55:57 AM

Post# of 34668
Uhh that isnt "shorting", that is called Short Volume which doesnt have anything to do with shorting a security. I highly recommend getting acquainted with SEC Rule 200 which governs that report, it strictly concerns ownership of shares in each trade transaction. Only the initial leg of a trade is recorded and it doesnt get reconciled with the covering transaction. If any party that does NOT own or have physical custody of the shares in that transaction it will be marked "short" despite being a long position trade.

On the flip side of that Reg SHO report is called thr FTD report which shows the settlement of those transactions listed in the Daily Reg SHO Report. The FTD reports hows no settlement issues here, just the typically insignificant background noise of normal trading going on.

So a recap, Short Volume is not the same thing as Short Interest, nor does it point to naked shorting or abusive naked shorting. Any broker dealer who completes transactions between brokers is going to mark the trade short due to not owning the shares and not having physical custody of the shares in the trade transaction.

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