Fundamental misunderstanding of shorting.
it's not about closing the first 2% of shorts. The incremental increases in shares that need to be bought back is not linear to price, instead each share that needs to be bought back creates a potential exponential affect on price. The quicker the change in sentiment or expectations about the future the more exponential the effect is. Like commodity markets, price is set at the bid for the last remaining unit of a good demanded.
If shorts suddenly needed to close within a week, there is no way known 22% of the register would be available for closing unless the price was irrationally high.
Good News & Bad News, page-42320
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Last
$3.79 |
Change
-0.010(0.26%) |
Mkt cap ! $11.40B | |||
| Open | High | Low | Value | Volume |
| $3.83 | $3.87 | $3.74 | $185.9M | 49.02M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 4 | 1585992 | $3.79 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $3.80 | 533583 | 19 |
View Market Depth
| Last trade - 16.10pm 31/05/2024 (20 minute delay) ? |
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Last
$3.78 |
Change
-0.010 ( 0.53 %) |
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| Open | High | Low | Volume | ||
| $3.83 | $3.87 | $3.74 | 9679943 | ||
| Last updated 15.59pm 31/05/2024 ? | |||||
| PLS (ASX) Chart |