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Re: Penny Stocks 2.0 post# 29946

Tuesday, 10/04/2016 7:12:51 PM

Tuesday, October 04, 2016 7:12:51 PM

Post# of 32393
Those short numbers can be explained by the way that Market Makers make the market. MM's often sell short in order to offer an orderly market and then cover at a later point. It shows up on the short list but its not really a short.

As I have said there are basically only two types of people(there are actually three) in the market that can short. Note holders who can cover a short position (and are able to provide proof to brokers) and market makers which are allowed to short in order to provide a stable market. The third is anyone with deep enough pockets to pay the $2.50 per share to short the market (which has been excluded due to the fact that most people in the penny market are never go to do that).

Rod

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