Watchit Technologies, Inc.(fka WTCT)

[Crazy Money]

Unfortunately 75% of people seem to not understand... or just do not care to understand... or just using them cause they are there and they own stock and would be nice for it to be true... etc... FIRNA should themselves explain that stuff right on those reports... but guess it does not really matter ... as there will always be people point that out... but then when they do, normally the same people that think that stuff is really shorts... or just like using it.. assume those saying they are not real shorts... must be short themselves... etc... babble...

Risicare Member Level Share Friday, February 04, 2011 7:43:05 PM
Re: Hcotton post# 10827 Post # of 10834
Sorry but you do not understand the data or how the system works. If you talk to FINRA they will confirm what I am about to explain.
The short data that comes out daily is useless for finding the actual short interest the only numbers useful are the bi-weekly ones.
Only the first leg of a trade is marked on those numbers and many/most transactions are done on a riskless principal basis. So for example Joe is offering 100@1$, Mary comes along and lifts the offer for 100@1$ So the market maker sells 100 shares to Mary (which he is then short) he then immediately buys the 100 shares from Joe which flattens his position. Joe and Mary have got what they want now and the MM has no position. That transaction is marked in those numbers as a short sale as the first leg of the trade is what gets marked. So you get 100 marked short but nobody is short.