Not that this board is about OTC stocks, but all that recent hoopla about nekkid shorts and new regs turned out to be the usual pile of elephant dung, didn't it?
All that has resulted is more stupid Chinese CEO press releases alleging more elephant dung -- you would think they would have more respect for short people:
...NEW YORK, May 2, 2011 /PRNewswire/ -- Deer Consumer Products, Inc. (Nasdaq:DEER - News) (website: www.deerinc.com/), a leading provider of "DEER" branded consumer products to Chinese consumers and a leading vertically integrated manufacturer of small household and kitchen appliances for global customers, publicly announces today that the Company has received additional evidence of continuing illegal short selling in DEER stock...
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...Xl'AN, China, May 5, 2011 /PRNewswire-Asia-FirstCall/ -- Sino Clean Energy Inc. (Nasdaq:SCEI - News) ("Sino Clean Energy," or the "Company"), a leading producer and distributor of coal-water slurry fuel ("CWSF") in the People's Republic of China ("China"), announced today its intention to take action against those responsible for the malicious and fraudulent attacks on Sino Clean Energy, which were orchestrated and conducted by or on behalf of certain short sellers...
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...NEW YORK, NY--(Marketwire - 04/19/11) - Healthnostics, Inc. (Pinksheets:HNSS - News) provided short-sale defense details.
Strong circumstantial evidence indicates that there is a sizable short position in the stock. This evidence includes:
1. Contacts with the Company by individuals and firms seeking to buy large amounts of discounted stock;
2. Increased selling volume when positive news is released;
3. Attempts to dispense negative rumors on chat boards;
4. Trading activity that appears to circumvent normal trading procedures (T-trades, unfilled orders, etc.)
Shorting falls into several categories:
1. Normal market-making shorting that maintains liquidity;
2. Hedge fund and investor shorting to profit from stock price declines;
3. Predatory shorting designed to drive a stock into oblivion.
There are two types of shorting:
1. Legal shorting in which the short-seller borrows stock and sells it;
2. Illegal shorting in which the short-seller fails to borrow and fails to deliver stock. This is naked shorting.
Short selling entails substantial risk because the potential loss is virtually unlimited. When a stock begins to make significant gains, short sellers may be forced to cover, creating a short-covering rally...
