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Re: tob999 post# 54699

Monday, 09/03/2012 2:28:37 PM

Monday, September 03, 2012 2:28:37 PM

Post# of 74729
Yes MM's who now have to borrow shares of ASYI to fill even the minimal ASYI orders we are seeing on the L2. I understand now why they don't want anyone buying ASYI anymore and so feverishly are suggesting doom. The short reports for the last month have been very telling in that ASYI has consistently ranked as one of the most shorted stocks on the OTCBB. Granted, as of late MM's really can't make much shorting it, but they have no choice to short it because there has been so much accumulation and demand over the last three months, especially when we saw volumes reaching over 200 million a couple months back. Runway 36 shared an article from Smart Money which explains what's happening here:

http://www.smartmoney.com/invest/stocks/its-the-market-makers-4806/

In the article there's a very interesting point made.

Market makers are supposed to sell a stock when investors want to buy it. When there's a big buying demand, a market maker may have to go short and borrow shares in order to a produce a ready supply of stock.



Having to borrow shares just to produce enough to satisfy these minimal buys as of late, coupled with the fact retail is refusing to sell, is making some people very angry, IMO
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