General Discussion Topics, page-131806

The 3rd Friday of March is the quarterly rebalances under the ASX200. With the notification coming the first Friday of that same month.
So we only have until next week Friday before we become aware of if SYA will be booted from the ASX200.

I assume the last 5 days of trade we saw a short covering from the removal of that first index. An assumingly if we get booted out of the ASX200 we will likely see more short covering again from 1st March Friday until most shorting is covered.

But this still leaves me with 2 unanswered questions:

1) Does anyone know how to calculate whether or not we will be removed from the rebalance
2) If we are removed, what is stopping shorters buying back the stock, returning the margin call, reshorting the stock.elsewhere?

We may have a gain after 1st March on the back of short cover but IMO that would be a largely bad outcome for us as holders. Why?

Well if you have a short cover. Only for the same shorters to take out short positions elsewhere you will see a gain and then a loss on the new shorts. If however some fund managers or large holders are then required to sell their holding due to rebalancing their own holding from SYA into its ASX200 replacement we then have a bullish followed by double bearish outcome.

I am hoping my interpretation is wrong. But being removed from ASX200 does not seem very good. Hopefully as Silent Bubbles has hinted, we have something more coming between now and the announcement next Friday that gives us just enough share price adjustment to avoid a deletion from ASX200.