Ayala Pharmaceuticals Inc (ADXS)

[ignatiusrielly35]

FBG, the mm's obviously are dealers, buying and selling at the same time, with a spread. When they deal from the shorts side they are not maintaining any inventory of shares to sell to buyers. They are fulfilling demand for shares by shorting them to the buyers. Thus, they maintain a large short position which, of course, means that they don't want to see the market rise too much because then they could get stuck. So they are suppressing the pps. But they can't let their short position grow too large, so they periodically cover some when the price gets low enough. Then when the pps rises they repeat the cycle. That is why they have us trapped in a fairly well-defined range.