Bathurst Resources - BRL

**Blue Horseshoe** · 07-06-2013, 05:07 PM

Man o Man, what is it with this stock, the more "good news" that comes out the more the sp falls. Am I missing something here?. They say they can make money on current coal prices and have available funds. They have never been in a better position according to Gordon Keko.

**Xerof** · 07-06-2013, 06:07 PM

J P Morgan is a constant seller. Plenty still to go as well

**Xerof** · 12-06-2013, 08:49 AM

Originally Posted by Xerof

J P Morgan is a constant seller. Plenty still to go as well

I have just read a comment on the ASX BTU thread posted by macduffy, who says that Morgans are buying back a short position, established by borrowing shares, and selling them as step one. Now they may be buying back as step two, and filing SSH notices which give the impression they are selling down. I.e. as they 'return' the repurchased shares to the original owner, their holding is reducing.

I would have to say that seems a more credible summary of what might be going on. It is common practise in both equity and bond markets for this activity to occupy the minds of proprietary traders within these trading houses across the globe

Apologies if I have put you crook

**blackcap** · 12-06-2013, 09:17 AM

Thanks Xerof, but this still poses the question... who is then the seller or sellers? Or are there more short sellers in the market? That seems a bit far fetched as it is at prices where a short is very dangerous.

**Blue Horseshoe** · 12-06-2013, 09:28 AM

Thanks for that Xerof, So what this really means is that small holders don't have a chance when the JP's of this world short sell the shares to rock bottom, deflating all faith in the stock so when they buy back there are plenty of disillusioned sellers willing to sell.?

**blackcap** · 12-06-2013, 09:54 AM

Not at all. Do your own research and if the big boys have beaten the price down... you get the shares cheaper than you would have if they hadn't. I see this as a win win situation

**False Profit** · 12-06-2013, 12:23 PM

Price drop to 20c. Good support at 19c and I'm looking to buy. BINGO!!!

**macduffy** · 12-06-2013, 12:36 PM

Originally Posted by blackcap

Not at all. Do your own research and if the big boys have beaten the price down... you get the shares cheaper than you would have if they hadn't. I see this as a win win situation

So true, blackcap! Shorting is a fact of investment life and miners are prime targets!

Incidentally, the ASX publish daily stats on shorts. I access these via The Bull website. It's a bit of a tedious navigation to find the right page but easier than via ASX' own site! ( Perhaps I look in the wrong place?). It used to be that they would show the total shorts outstanding but these days it only appears as the previous day's transactions. FWIW, yesterdays BTU short activity was negligible!