Torvec, market psych and other ramblings....
What a world we live in....as we watch the dark cloud over us created by the mother of all global margin calls, and we wait for what will most likely be a bill approved by congress today, I cant help but think about how happy this stuff makes the market makers....they dont care what direction the market is going as long as it's moving....wow has it moved...they are feasting on the equivlant of 5 thanksgiving diners worth of trading volume per day over the last few months...and they will do so again as things calm down and gradually stabilize..these are he times when some serious money can be made by doing some homework...there is going to be some tremendous wealth created by the recent events creating buys ins at some very low prices.......what was that..? I think it was a market maker belching...
As market makers go, it appears that over the last several months, Knight Equities has stepped in as the MM that frequently has TOVC boxed in by sitting on both ends of the spread...the 40 to 50 cent spread that has existed on TOVC is classic...the low volumes do tell me that the vast majority of TOVC longs are holding on to their shares however the MM's are very good at creating stock movement designed to shake out shares from weak hands..These are the times to evaluate what we are sitting on as TOVC investors...I have all of my Torvec shares and have added to my position during the recent weeks..this debt free little company that we have stuck with for the long haul will, in my opinion, cut some deals that will provide the investment return I seek...it's taken longer than I would have liked, however, I remain committed and confident that the team in Rochester is going to finish the job to the benefit of the shareholders and themselves....
One last point before I go back into hibernation...the published short position has decreased from 225,000 shares a year ago to around 48,000...I would have expected some covering to occur given the lower share price....how much of the naked short position still exists.....??? I would suspect that its lower than it was but still quite large.....I have stated this before...anyone who thinks that a naked short position doesnot exist or denies that one exists in naive or has motive....the new short rules that have come out donot apply to Torvec...as a matter of fact on the Interactive Broker site there is a 5000 share block available to borrow to short as I write this post...
I applaud the Torvec team for continuing to pound through the process....there will always be critics..that goes with the territory...but sometimes as investors we have to manage our own expectations and assess things without emotion....thats hard to do at times like these, but the people who can succeed in doing so during times like these will win ...My unemotional conclusion on my Torvec investment is that it will be worth the wait...
My best regards to all....
