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Message Subject
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A hypothetical question for the finance people...
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Poster Handle
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Anonymous Coward |
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Post Content
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depends if you are referring to normal shorting or "naked" shorting which is technically illegal.
Can you explain what you mean by that?
Quoting: 2XSecretAgentnormally to short a stock you must borrow shares..(to prevent shorting of more stock than actually exists) naked shorting ignores the borrowing rule. shorting can lead to a self-fulfilling decline in small sparsely traded issues...a bear raid so to speak. The SEC lifted the uptick rule last summer whish can also create a cascading effect. As far as shorting now..the easy money has been made.
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