Has anyone ever been able to short a pinksheet stock? Not even necessarily a penny stock. Example OWENQ. wanted to short this a few days ago but couldn't.
Posted by Machiavelli on :
As far as I know you can't short any stocks under $5 per share... plus other restrictions like the "uptick" rule, margin requirement etc.. etc.. if you never shorted stocks before its advised to read a book on shorting stocks.. below are a couple of book suggestions (other people can make suggestions for other books on shorting stocks)..
How to Make Money Selling Stocks Short by William O'Neill
A Beginner's Guide to Short Term Trading by Toni Turner www.toniturner.com Posted by metal1 on :
I used to be a market maker so i guess i never paid attention to the fact that there was a $5 rule since it didn't apply to me. thanks.
Posted by BuyTex on :
wow, that's interesting--which firm?
Posted by metal1 on :
schwab
Posted by BuyTex on :
yeah? what do you think about the change to UBBS, or whatever?
Posted by metal1 on :
personally, i think they gave up to quickly their MM business. I had no say in the matter of course.
Posted by BuyTex on :
I like it, I think. I don't trade through them, but it bugs me that my broker can have a "sister" that's a Market Maker...seems like a conflict of interest to me.
Posted by metal1 on :
there is no conflict because there is competition between exchanges/firms as to best pricing. though now with penny spreads it doesn't really matter much anymore. doens't matter where you send the order you're going to get the same price. i'm not referring to iliquid, pennies or bb stocks. i made markets in listed securites (AMEX, NYSE) and there was competition between the regional exchanges to show best pricing.
Posted by BuyTex on :
I was referring to pennies...that's where I started and am just getting into NAZ plays this year. Hey, learn sumpin every day--I thought MMs *only* worked over-the-counter stuff; didn't know about AMEX and NYSE.
Posted by metal1 on :
and the regional stock exchanges. Boston, Chicago, Cinci. Though on the NYSE they are called 'Specialists' not MM's
Posted by BuyTex on :
But "specialists" can actually "specialize"? right? ie, A specialist might actually be on the floor, responsible for only a few issues, whereas MMs may have several/many to "make a market" for? PM later if ya wanna--I just like to learn...
Thanks
Posted by metal1 on :
I think NY specialists have 10-20 stocks. We had around 50 stocks. each firm of course can have multiple specialists.