Short Interest Report Signals Easy Targets: Will Sirius Movie Help?

By Brandon Matthews

As the June 10th release date of “Stock Shock” - the movie” draws near, I began thinking of potential good that could arise from it. For those readers that do not know, I had been approached several months ago by the movie’s producer, Sandra Mohr, through Seeking Alpha, regarding my willingness to be interviewed on camera for the documentary. The film itself as I understand it tells the tale of stock market manipulation as told through the investors of Sirius XM Radio (SIRI).

With the imminent premiere looming, I began considering its potential implications and the power it may have to bring awareness to Main Street of the devastating effects that naked short selling can have on any publicly traded company. I considered the removal of the uptick rule that allows unregulated hedge funds to join together to destroy any company of their choosing. The new administration seemed to promise the end of such market manipulation, but as time wears on, there appears to be little momentum left to pressure the Securities & Exchange Commission into acting in a timely manner. It seems they are content to punish somewhat insignificant Ponzi scheme operators since Bernard Madoff gave them their proverbial “out.”

The uptick rule was rescinded in 2007. As I pondered the situation before us, I decided to check the NASDAQ short interest list, on which Sirius XM has held the top spot for several years now. I found this to be quite interesting:

“The requirement for reporting short interest as of settlement on the last business day of the month became effective September 2007.”

It dawned on me that the game has been heavily tilted in favor of these illegal market manipulators for some time. The NASDAQ short interest report and subsequent Regulation SHO list provide these funds a means to an end. They provide a list of companies to target every two weeks. With no uptick rule to stop them, hedge funds are free to wreak havoc on the American dream.

It is my hope that “Stock Shock! - the Movie” will bring about a renewed interest in protecting the average investor. Reinstating the uptick rule is important, but providing biweekly corporate hit lists should be criminal.

Position: Long SIRI

Comments

[jmsithy:]

well since no one else is posting here "Any word on the apps yet"?

Jun 08 10:46 AM

[wilber:]

I hope someone posts "Stock Shock" online... so investors in Sirius-Xm can afford to see it!


On Jun 08 10:46 AM jmsithy wrote:

> well since no one else is posting here "Any word on the apps yet"?
>

Jun 08 11:52 AM

[itsjust$:]

I notice the hedge funds reported to work this morning....f..heck

Jun 08 02:32 PM

[jmsithy:]

I think it is funny how this stock can whole as whole cents, I can't trade when it is at .3385 and .3390 I have to wait until either .34 or .33

but you have everyone selling inbetween .34/.33
so if it goes up by .008 then sells to bring this back down to .004

today didnt even lose .01 but it lost by .0012




On Jun 08 02:32 PM itsjust$ wrote:

> I notice the hedge funds reported to work this morning....f..heck

Jun 08 03:31 PM

[I'm Not Jim...:]

Oh please!. Once in a while I get frustrated over all the conspiracy theorists that occupy this place. The uptick rule is gone and won't be back. As for naked shorting . . . well nobody is naked shorting Apple now are they? Sirius has been a devastatingly poorly run company, and THAT'S the reason it's .35 cents! Even the boards that talk about being cash flow or EBITDA positive are better than this crap.

Jun 09 11:50 PM