Replies to post #343769 on ERHC Energy Inc (ERHE)

[Krombacher]

The shorts' current strategy is simply:

"If no new investors buy Erhc, and we avoid a margin call long enough for Erhc to go bankrupt, we'll do fine, because the share price says erhc is going bankrupt"

Of course, that logic is completely flawed because if you're worried about margin calls on short positions, it's because you know the current share price isn't reflective of the company's true value and a simple reading of the 400+ page legal document would tell you that and it would tell you that ERHC is not going bankrupt despite its current share price.

Its current share price is simply a function of too few longs having actually read the 400 page document versus the supply of shorted shares which have it stripped demand. This simple fact is why the share price trades where it does and is why the shorts are in the predicament they're in.

Not even misquoting me out of context repeatedly will change that.

That said, I think tradestation.com might allow for the purchase of caveat emptor stocks. I will look into that and I urge anyone to thwart the shorts' silly plan of hoping for fewer new investors by investing more. Although their plan is doomed to begin with and so nothing need be done... nevertheless, it's fun to thwart them regardless.

Krombacher

[emdyal]

For every seller there is a buyer - the shorts are buying to cover their loans!