Although it seems the shorts are re-positioning or even expanding positions at the current level, it is still a huge gamble on their part IMO. One announcement from the SEC about no substantial evidence in the informal inquiry would send this back to 36.00 in a heartbeat in an open market. Timing the market can prove deadly for shorts as well as longs and a testing of the 28.80(approx.) support we saw Friday will possibly be on the table in the A.M. today. LINE shares for some reason are under more pressure than LNCO but that is all subject to sudden reversal at any given moment although LNCO is rated by Thomas Reuters as NEUTRAL and LINE a SELL, but don't ignore the recent UPGRADE on both by BOA(Merill) and that should act as some type of support and insulation against the type of fear selling we saw in these securities when the short-scam articles first hit. Fasten your seatbelts, it's gonna be a hell of a ride.
In conversation with other investors it seems I was wrong in stating that SEC informal inquiry will be addressed in 2-3 weeks I am told by reliable people that the SEC does not make a formal statement on an informal inquiry, they just ask for documents and review them and if a formal is not needed it's over. What will happen is the SEC will, in finding the company innocent of any guilt, issue a statement of support in the BRY merger and that's it, so this process might take longer than I had suspected, unfortunately. Does this change the fundamentals, no. Does it hurt LNCO-LINE'S chances of closing the deal, no. I think the company will have to make a statement next, maybe at the next shareholders meeting. GLTA SHAREHOLDERS