That's possible but I still think what we've seen since a few hours after Cox and the SEC announced their intentions to eliminate all naked shorting for 19 financial stocks....and then ...proceeded to announce that they're going to look into how to stop ALL naked shorting for all stocks(even though he admits it's a tough technical challenge)....the stock market rebounded along with PTSC.

The emergency rules take effect Monday and last for 30 days unless the extend them, but I think most if not all shorts wanted out before they had start answering to the SEC on Monday. JMO

"An emergency order issued yesterday by the SEC aims to curb the short selling of stocks in the financial services sector, including Fannie Mae and Freddie Mac, as well as 17 other firms. The plan takes effect on Monday July 21 and remains in place for 30 days. However, the SEC is considering whether to extend it to all U.S. traded stocks.

Under the requirement, any short selling in the securities covered on the emergency list will have to be arranged for beforehand in order to borrow the securities from a share lender. So-called naked short selling involves selling a stock short without taking any action to borrow it, meaning the short seller doesn't enter into a contract to borrow those shares from a share lender. Forcing short sellers to make borrowing arrangements beforehand, it is believed, will reduce the amount of stock made available for short selling activities.

A part of the dramatic rise in short selling is due to the elimination of the so-called up-tick rule, said Muriel Siebert, founder, Muriel Siebert & Co. This barred short sellers from selling until the stock price rose. It was eliminated in 2007.

"That was a bad mistake and I hope they change that rule because investors now can just bash a company," said Sibert.

Naked short selling has been blamed for the jaw-dropping slide in stock prices of mortgage giants Fannie Mae and Freddie Mac, as well as Lehman Brothers and several other financial firms. Articles in the Wall Street Journal and other business tomes have linked the practice to the demise of Bear Stearns earlier this year.

The emergency order should stop "unlawful manipulation through 'naked' short selling," the SEC said in its release.