I make a distinction between taking a short position and mounting a shorting attack.
The first seems to me to be as legitimate an investment strategy as taking a long position. You are just taking a view on whether a share is under or over valued. All shares will experience investors taking short positions at times and it is a reasonable tool for a hedge fund (and others).
The second is where taking a short position is accompanied by deliberate attempts to manipulate the share price, sometimes fairly by raising legitimate questions (as with Quindell) but sometimes by spreading misinformation. It is just the inverse of ramping (also exemplified by Quindell).
I characterise the short activity in LGO as nearer to the first kind and not something to get excited about. If it was an attempted attack it was remarkably inept!
....and sell a few LGO shares as 2/3 of them are held outside my ISA. Unfortunately, HSBC didn't allow AIM shares to be traded within ISA's until Oct/Nov last year hence the need to sell some and then buy back in my ISA. No immediate rush but I can see some serious money being made here and obviously wish to avoid paying tax on any profits if possible. Timing is the key....just got to pick the right time if I can to buy and sell. Strong hands here...long and strong.
Well said 2ears1mouth,perhaps alb1on missed the shorting attack,he may of joined LGO just after? Onceatrader was even trying to uncover who the major hedge fund that was shorting LGO. I even asked DL if YA global had any LGO shares left.his reply was they had sold a long time ago.which ruled them out of shorting LGO. Also like your assessment of shareprophet..........alb1on.........a group of scammers!! I'm sure we'll all be quite relaxed come the time the big RNS comes out!! Regards
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