Originally Posted by
Stranger_Danger
It means a bunch of generally smart people have *already* made bets that ARI will go down.
It also means guaranteed buying pressure at some stage in future as they cover their short.
I haven't bought yet. I could easily be wrong, but I think the "point of maximum pessimism" will be IF most rights aren't taken up and IF the underwriters act stupidly and IF markets are having a temporary glitch but BEFORE the impact of short covering.
Yes, I know there are a lot of if's in that sentence, but I do see at least the possibility of buying ARI at a stupidly low price, which is what I'm all about.