SGH (ASX) Short Selling Gross Sales as a Signal?

Originally posted by milesy ↑

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In order to answer your question, I would have to say that logic dictates that the financiers must be supportive of the business in order to have let SGH off with a slap on the wrist, without demanding that heads roll (yet) and with the belief that they will get their debt repaid. That is why I am in.

But, I am not sure of the banks motives.....all I know is that they will not be too concerned with share prices, mum and dad investors, or anything that requires a conscience....as you said, they are motivated by money.

Who knows what their plan is?

And until we are in the loop, it is a gamble which makes any share price movement up or down, just a jump at shadows.

My feeling is that the risk is still too great for institutions, so the risk is still to the downside in terms of short-term share price action. That is, a lack of willing buyers, but an abundance of scared sellers.

10 days straight so far.

Let's hope (hate that word when investing) for at least a green Friday.

These are only my ramblings kunleesp....I have a bearish attitude towards any trade that does not go as expected early in the piece. Paper losses to me are just as real as actual losses, and can grow decidedly larger if not acted upon.

Milesy

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@milesy

We know the banks motive, if they didn't back SGH and sent it in liquidation like DSH the banks wouldn't have seen not one cent.

So it was better for the banks to work with SGH and see some of there money repaid.

I don't think heads will roll as that could create bad publicity and news papers will jump on it and send out more fear for investors and there clients.

Who would want to use SGH lawyers with bad news being reported about them and there management.

Before you go and see a lawyer the first thing they ask, deposit this amount of money into the trust.

Now let's say I'm a client of there's and I've approached them for legal matters, now why would I even bother to approach them and put money into there trust with all this bad news that I'm hearing.

That's one thing SGH need to get back, is people's confidence in them.

To me as a shareholder, I do want to see the sp up as that would build some confidence in the company and there operations.

Seeing the sp this low, is a joke.

It's not just us investors, it's SGH clientele they need to earn back.

Only way of doing this, get the sp up so we can start to recoup our past losses from the poor management and start spreading the great word.