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Re: hulk_eye post# 31282

Saturday, 12/05/2009 8:26:01 PM

Saturday, December 05, 2009 8:26:01 PM

Post# of 135274
GTC's are not recommended. First it only works for cash accounts, it reveals your position to the MM kinda like showing your cards when playing poker. They get an idea of how many shares are up for sale because they know ultimately the ask price will come down. If they are shorting HESG, using naked shares, they don't need your shares so whats the point? It's obvious they are working NSS because with all this volume, the stock price should be much much higher than where it is now. The stock is being kept down. The MM's do not want it to run not because they are not fisished accumuting for the big run, not because they are taking advantage of the volume by flipping shates, they do not want it to go up bacause they do not want to pay more than what they shorted it at. The need it to go down hard and fast so they can buy back these shares they shorted so they can make money. The new ruglation SHO rule puts a time period on when they must bring the security back into compliance where before there was no time period and nothing to enforce the rule. This must occur within the 30 day rule, once the security shows up on the delivery report, they have 30 days to bring the security back into compliance. If they are shutting down discount online-brokerage houes, its not because the broker wants to protect you. They are protecting their buddies, the MM's that are assigned to the stock, to maintain a fair equal trading environment. They have broken the rules now they must pay. 13 billion shares would have been doable, but with all the new buyers, the share retirement, the news for forward progress, possible OTC BB listing, these guys will certainly lose everything. Somebody is going to have to sell their house to pay for HESG shares. Meanwhile, we are laughing all the way to the bank. Feels good to be on this side once in a while and this scenario does not come often. I have only seen this happen 4 times including HESG in my 15 years of trading.