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Old 03-22-2004, 08:38 AM   #4
emice
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Join Date: Apr 2002
Posts: 9
Sweet. Let's try and leave portfolios open so we can study each others investment strategies. I am putting all my money into shorting SCO stock. Today is the day to bet on this one, the negative sentiment is finally starting to seriously outweigh the good. Most of the analysts have caught on and very soon the mainstream media will be all over it. This will bring to an end SCO's strategy of boosting share price with impressive press releases based on false logic. While the press releases used to boost the price, recently they have only slowed the fall, and any day now they will simply stop propping up the stock. The MACD technical indicator also points to a drop.

A few reasons why the sentiment is changing:

1) SCO's contract with Novell has been picked apart - SCO is claiming rights Novell says it didn't even get from AT&T, so it couldn't have given them to SCO. The code SCO has disputed so far is small and was developed by 3rd parties that licensed the core Unix code from AT&T. Then what is SCO suing IBM for?

2) SCO also has to go to court in the coming weeks and show infringing code (what code?!) to a skeptical judge who is tiring of all the games.

3) There is insider selling going on - http://biz.yahoo.com/t/83/956.html

4) SCO made money last quarter on betting that their own stock price would drop.

5) There was a blundering 1st quarter conference call where Darl McBride seemed flustered at times. Amazing how the phone can cut out as if someone is tapping it on and off hook, and just as a difficult question is pressed by an investor. My guess is Darl's lawyer was advising him.

These are all signs that tell all but the most irrational of us where this ship is going.

The only problem may be a short squeeze, but I don't really know how VSE simulates that. I thought that was dependant on the brokerage.
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