I just found the short positions on Titan.
As of January 15th the short position on Titan was 118,700 versus December 31 where it was only 12,300. As the price in Titan increased from $0.95 to $1.11 (price of Titan at Jan 15th) the short position also increased.
As of January 31 Titan had a short position of 849,500 shares which is up 730,800 from January 15th. The price of Titan on Jan 31, was $1.74.
As the stock price was rising, people decided to short the stock. Now with the recent financing they can cover their short position with shares from the new issue (so these shares will not hit the market) or buy back their shares in the open market since we are back to the $1.40 range.
Either way this is very positive for the current shareholders of Titan.
Let me explain why. Those who shorted the shares and are now covering with the new-issue shares will not be selling these shares into the market which is positive for the current Titan shareholders. Those who shorted already in the past and are part of that 849,500 existing short position will have to cover by going into the market and simply buy back their shares.
Yes there are still some hedge guys who absolutely are selling their shares to keep the warrant such as the seller of the 250,000 shares block others referred to earlier but this is much more positive over all.
This is an absolute sign that this is going higher and if the shorts do not cover they are going to get very hurt.
Lastly, I heard from good sources that as the price increased to the $1.70 range there were people who participated in the last round of financing who held the Series C warrants that were shorting and would exercise their Series C warrants if they had to in order to cover their short position. They were right on the money with this strategy and can now keep their warrants and simply cover their short position by just going into the open market right now. Good for them as they made a dollar on the right move.
