Replies to post #19523 on Hemi Energy Group Inc. (fka HMGP)

[BonelessCat]

Shorting for the pinks and bb is already criminalized. Nearly all of the shorting activity is MMs leaving open sales positions. This is against regs and does have penalties. They must cover within 5 days and I have no problem with that. But, the SEC has no oversight of the regulations and so the MMS are in effect self-regulating. I believe that the majority follow the rules, but there are a few who see minor dilution and immediately supplement that flow of new shares into the market with air shares. There is no intent to find shares to cover their open positions because they are certain that the SP will not treturn to pre-dilution levels, and if it does, then they simply dump more air shares to drive down the price.

[gtv]

How can one just do away with shorting?

Just as the tides are in and out, prices go up and down. So someone has just as much right to speculate the price is going up as someone has the right to speculate the price is going down. If someone can make money when the price goes up, why not let someone make money when the price goes down?

so there should be calls but no one should be allowed to do puts?

along the same lines the price should always be up and something shouldn't ever be a deal and undervalued? so people like Warren Buffett that buy when something is down and a good value are bad guys?

Of course you are frustrated with the situation but aren't you getting into the crazy talk now?

you can't have the bull without the bear. just as companies go out of business and others start, everything has a cycle. If you want to make money, just know the rules of the game you're in and how to profit from the situation.