On October 15, 2007 Nasdaq made changes to the Reg Sho regulation on the reporting requirements of grandfathered naked shorts of Liquidmetal (and other stocks as well).
Within 35 business days of this date, all grandfathered naked short positions must be closed...
This essentially means that a whole bunch of short interest......at least 670,000 shares ....must be closed out prior to November 30 - December 3 (depending upon one questionable holiday).
So HOLD ON LONGS and LET THE SHORTS take it in the ear. Next week is going to see a flurry of activity as dealers who are short try to find shares to return....and GOOD LUCK. For 600,000 shares to cover in a week, we should be seeing a price per share greatly in excess of $1.20.
Short interest (reported) has increased by 671,800 shares.
The other interesting aspect of the regulation changes, If a security becomes a Threshold Security after October 15th, all fails to deliver must be closed out within 13 consecutive settlement days.
Nasdaq Reg Sho Regulatory Alert
Elimination of "Short Exempt" Trade Dates
Again, Longs........HOLD YOUR SHARES and don't sell out below $1.50
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