Southridge Enterprises Inc (SRGE)

[terry_mathews]

Tob999, with all due respect

You are completely misinterpreting that data metric and I hope your investment is not based on this information. Short volume and short positions are two very VERY different metrics. Short volume represents ALL bona fide market making trades and represents ALL trades routed thru a market maker from a third party broker-dealer not making a market in SRGE. These routed trades (representing long sellers) are marked short because the market maker executes the trade on behalf of the long seller before the market maker has taken inventory of those shares thus; technically a short sale. The short is IMMEDIATELY closed out once the market maker turns around and purchases the shares off the selling BD in order to make good on delivery.

If you don’t believe me, I suggest you consult with some longs that may be willing to set you straight on this metric. You can also wait until the bi-weekly Short Interest report that will vastly contradict this metric for the reasons cited above.

To research this more I suggest you do a study on how to mark a trade. While it is a complicated read it will explain what is marked for the 'public trade' and what is done behind the scenes. In the case of a routed trade there are two trade transactions for teh single sale and to make trade volume more accurate only one is marked and shown to the public. the fact that short positions don't change but short vlume is large is because ALL the short volume activity comes from long sellers - which is par for the course in pinkies because it is hard to short a pinky.