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Hampton Roads Bankshares Inc. Message Board

  • theguru_onstocks theguru_onstocks Sep 20, 2009 6:08 PM Flag

    Short Covering Price Action Fools You

    Eventually all short sellers have to buy and cover even the worst stock in the world. When they do, it does move the quoted price up a little. Then a whole new round of shorting begins ... and the process starts all over again. So without any knowledge of what's going on, an upward price movement can be very misleading.

 
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