Bantek Inc (BANT)

[horst]

Stock Barber is right that diluted shares are reflected in the short report. However, he's being misleading in suggesting that one can identify with certainty how much of that short volume was diluted shares and how much was actually shorted shares. But if the short volume tracks closely with known dilution, then yes, we can surmise that diluted shares comprised a large amount of the short volume on a given day. I had an impossibly annoying back and forth with Stock Barber about this recently, where I acknowledged that short volume does indeed reflect diluted shares, but he wouldn't budge on the fact that we can't know, without exact knowledge of how many diluted shares entered the market on a given day, the ratio of diluted shares to shorted shares deducible from the daily short report. He's right about how the diluted shares appear in the short report, but misleading in suggesting he knows how much of that short volume was dilution. I wish I could find a link for you, but I recall learning about this some time ago--it may have been in an instructional trading video, which would explain why I can't find a link just now.

Short volume and short volume percentage were both on a downward trajectory as of Aug. 24 (the latest reported date on the OTC short report) in any event. IMO, this tracks with my perception of CDEL retreating in terms of its naked shorting, and it also tracks with fewer diluted shares entering the market as the converted shares have mostly entered the market already: https://otcshortreport.com/company/DRUS.