Replies to post #177681 on Anavex Life Sciences Corp (AVXL)

[XenaLives]

So how would you explain the nine million day when the share price didn't move?

[Investor2014]

Agree with that analysis Steady. Ought to be recognised by anyone with some experience investing in high risk small cap stock.

[Kentucky123]

Steady says
It will take a MAJOR event to create a short squeeze that the short position holders can not over come with the application of more money.

Very logical analysis. But that is the danger for the shorts. Previously you stated that it is a percentage game that most of the small bio tech companies fail and there is no reason to cover. That supposes that they never cover until BK. As long as the tutes stay away and no large capital infusion occurs the shorts are in control. Is that what you are saying?
It does not seem prudent to me not to cover at a low price or at least take some profit. Admittedly biased. They got the company down to 65 million market cap. Bulls make money bears make money but pigs get slaughtered.

If the drug works they loose control and how do they cover?

[pcguy]

Why not simply cover at such low prices? There is no reason to protect thier investment. If it goes to zero there is not much more for a short to gain from $10.