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Re: investor102 post# 21907

Tuesday, 08/14/2018 5:32:21 PM

Tuesday, August 14, 2018 5:32:21 PM

Post# of 52224
If dilution ends then so does the shorting. The dilution is the fuel to the fire for shorts. It ensures they basically have a risk free trade.

As far as Robin hood most there are probably underwater. Some will sell but many will hold knowing they can't buy anymore and many desire to hold on to what they might think could be a lotto ticket. I personally think the robinhood thing is a wash, no consequence or any real effect comes from it.

What is important is the dilution. Dilution is the root of all death spiral financing deals. Remove dilution and death spiral dies. Shorts both retail and institutional, but institutional are the important factor, won't want to go anywhere near a 5 cent stock traded on the Nasdaq without dilution being their safety net.

I personally have a small long position of 50,000 shares at just under 5 cent avg and I flip shares daily as well. I don't use robin hood. I like to trade after market hours a lot. Frankly I never did trust robin hood. For reasons like what they just did. Plenty of brokers with 5 buck trade fees that are quick, quality and professional and non-restrictive.

Knowledge + risk taking = prosperity