Replies to post #7042 on CAVU Resources Inc (CAVR)

[unionman4u]

Gotcha ty

[Enertec]

NOT TRUE I am in shorts as we speak (colorful plads, with a new coffee stain to boot)...lol Keep Well Willy!
Enertec

[johnsyn]

Willy, there's a poster on another board that was going to enlighten me about FINRA site, same discussion going on that stock. He indicated it means nothing, but I don't know if it is just his opinion. He was busy and was going to answer later, which he still hasn't unless it posted it without being a reply to me.

[savy1]

Hey Willy, I think it is fair to say that there was some sort of entity short otherwise the stock would not have been flagged. What was established was 12 consecutive days flagged, and no 13th day, which happens to be the day the short entity is required to square their position. I also do not think anyone could argue the very strange trading on the 11th and 12th flagged day with a volume spike to 4+ million shares, 100+ uneconomical trades of 100 shares each, and many trades going through above the offer or below the bid which must be done manually as electronic orders always trade at market. I never believed there would be a short squeeze because the MM'S rarely lose in their game and can be dangerous when cornered. that is why I am very happy the situation got resolved and they probably will not be back again. Hopefully now the share price can move up based on fundamentals and growth of the company.

[johnsyn]

ALL: Here's the explanation by another poster on a different stock thread about how FINRA's short info is bogus, changed the name of the stock example to make it easier:
"Easiest way for me to explain my statement is to just give an example:
Lets say you invested long 5000 shares of CAVR and want to sell. You enter the order through your broker, which is then routed to a market maker. The market maker will then make the sell into the market before they have actually bought the stock from your broker to close out their account. They DO NOT take possession first bc there is no guarantee they can sell the order into the market into the market right away. Because of this, the actual sale into the market is a short sale bc the market maker sold the stock in the market before they purchased it from you. As the volume we see in our daily trading sessions is taken from the consolidated tape – only the sale into the market – so too are FINRAs daily analysis. The second half of the transaction is not recorded as to not distort the volume and the trading picture.

This is why the short sale volume is high but also why the FTD’s and bi-Monthly short interest reports are not showing any indications of this volume. The short isn’t really a short, it is the execution of a long sale by a market maker.

From the FINRA site:
www.finra.org/Industry/Regulation/Notices/2009/P120045 (the pdf link)

“The Daily Short Sale Volume File will provide daily access to the aggregate volume of short sales in NMS Stocks and OTC Equity Securities reported to a consolidated tape and traded over-the-counter during regular trading hours on each trading day. “

Consolidated tape only takes into account the open market transaction or the "short sale", by definition the second part of the transaction is called a media transaction.
This is the reason why we often see the high short interest volume reports seen. Bunch of Jackwagons if you ask me..messin with our emotions lol"