posted
If there is ... let me know because i would of been a millionaire long time ago lol ... shorting is only allowed as far as i know on stocks that are $5 and over... and with the "uptick" rule...
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posted
if u call ameritrade, they claim they allow shorts on pennies. I dont have an account with ameritrade but called to verify. Confirmed, but u need to call them first to see if that stock is "shortable." Is that even a word? lol
-------------------- "I sell ice in the winter, i sell fire in hell, I AM A HUSTLA, BABY, i sell water to a well!"
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posted
Ill let someone else explain the details if I dont anwer adequatly. Basically you are selling a stock you dont own using borrowed shares and have to eventually buy the stock back. So hypothetically you can sell a stock at 100 dollars a share, if it drops to fifty you buy it and you doubled your money. So you are hoping for your stock to go down instead of up. Once you buy the stock the deal is closed and you are out of the position. Instead of buying and then selling you are selling and then buying. Anyone can short a stock as long as you have a margin account. They dont allow shorting for cash accounts. Also I dont think you can short pennies. I heard someone say there is a rule that you cant short a stock under 5 dollars. There is also an uptick rule. You have to sell it short on an uptick. Also I think that not all stocks over 5 can be shorted so you always have to check although im not sure about that.
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posted
right on the dot, treemoney. BUt yeah, call ameritrade just to hear them say yeah, its weird. Anyway, like they say, "Bulls make money, bears make money, but pigs get slaughtered"
glta
-------------------- "I sell ice in the winter, i sell fire in hell, I AM A HUSTLA, BABY, i sell water to a well!"
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