Replies to post #10593 on Cann American Corp (CNNA)

[flicker]

I have a couple of questions if you don't mind instructing us a little on shorts. These are honest questions.

1. Do you have a way to determine how many shorts are being held and at what price they were purchased?

2. Do you agree that with low or no volume shorts are unable to reap the benefits of their position?

3. If the price begins to stablize and rise do shorts get squeezed (lose their deal or forced to buy and cover) as in game over?

4. Are they always time limited (must be covered within a certain period).

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I posted my opinion that shorts are actively trying to create a negative characterisation on Ihub after seeing this post on 4/16, which I figure was being shared by someone who knew there were other Ihubbers in on it. Is there another explanation?

My biggest short gain of 2012. :)))

[surf1944]

The answers are from what I know about penny arbs are:
1. No
2. No
3. No
4. No, these guys are hoping for a penny stock to trade down to nothing, tax free profits & they never need to cover.

These guys will be shorting because they know the stock will drop as the ATM funds are released & the share count increases. These guys are not looking at a day to day price swing, again they have been likely shorting for weeks. The answer to the ihuber posting he made funds on the short side are unlikely. I work with hedge funds & it can be hard for our funds to short certain otc/pink stocks.

A stock like BFLX, I would just walk away from it, again it will more than likely be trading below a penny in the coming months.

BFLX could still likely have a bounce, but it will not be because the shorts are covering.