Market Announcements, page-54

The interesting part of your post if the following..

"My take on it is the volume of shares traded is relatively low so shorters can sell down the market. Look at the percentages of shorts, close to 50% of those traded each day. That is hard to do with a CBA, so shorters can force down the price, but can they close out their shorts before everyone sees it rising and jumps on it?"


Now the key here is assessing the Share price jumps correlating to short positions.

From October 2015 to the current date the share price has traded in a range from 1.83 to a low under 1.10.

During this time frame short positions increased from 20 million shares to roughly 31-32 million shares. Like I mentioned on Friday I would suggest at most half the volume traded would of been short covering..we have to wait for the official gross short volume numbers but even if they covered 50% they would of only just covered 2.2-5 million shares.

There is million of dollars at stake here for the current 9-10 million short position added during this time frame. Will they risk it and short the stock even harder? They will be running out of ammo. I'm banking on some serious short covering over the next couple of weeks. I don't have a huge position..some friends hold many more shares but I think this is a very good trading opportunity and also a very good long term hold. For the shorts I don't see much on offer. I think a number of large positions may close out and they will move onto other stocks. It should be interesting to see how it plays out.