Advanced Micro Devices Inc (AMD)

[Haddock]

What is going on right now smacks to me of banks taking large short positions. Yesterday was a huge up day for INTC and the Nasdaq, but AMD went nowhere. Once they have the short positions they have an incentive for the price to fall more.

So what happens if the convertible is priced at $4? The banks have a huge incentive to keep shorting until the stock price hits somewhere around $4. AMD even lets them buy more convertibles if they want in case they accidentally short too much (if I've understood the press release right).

I'm an ERICY stockholder in a small way. They just did a stock offering at $4.10 (it was $0.41 but they did a 1-10 reverse split since). The stock was totally cratered around that time. It's recovered nicely since.

I might be making a mistake here. With HPQ beating the numbers today could be an up day. Certaibly someone rushed over to isld.com and bought a big chunk of AMD shares at above the closing price, despite the fact that isld don't normally trade NYSE stocks (looks like manipulation to me too, but what do I know). I'm just glad I didn't dump all my AMD shares at $3.30. They could go there again.