- Joined
- 27 December 2007
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It's apparant that no one understands what sort selling actually is..even the journalists and more disturbingly.. the politicians who run this country...most people get a little bit of information and try to connect the dots....
Public focus of short selling, is totally confined to the concept of "selling a stock you don't own", labelling the seller as some sort of evil, devil worshipping criminal....without actually examining the different forms it can take, the processes involved and the outcomes.
It is true ....short selling as a broad genre ..can be loosely described as above...However, no one seems to really understand the difference between a short sale which arranges "the borrow" prior to the trade and one that doesn't....
I have said this over and over again.....read my previous posts because I am not repeating it..that's if you want to...
but....for all those longs who are so eager to declare short selling as the reason for the problems in the stock market..did it ever occur to you that short sellers provide support for your long positions by covering their short ones...Ar some point when a stock is falling traders who are short have to close out their positons..They now become buyers...Banning short selling in its entirety has effectively eliminated buyers whpo provide support
The market won't have a balanced equilibrium without covered short selling....
I think as a regular trader you aren't aware of the type of short selling that your broker offers...Does anyone know...
Public focus of short selling, is totally confined to the concept of "selling a stock you don't own", labelling the seller as some sort of evil, devil worshipping criminal....without actually examining the different forms it can take, the processes involved and the outcomes.
It is true ....short selling as a broad genre ..can be loosely described as above...However, no one seems to really understand the difference between a short sale which arranges "the borrow" prior to the trade and one that doesn't....
I have said this over and over again.....read my previous posts because I am not repeating it..that's if you want to...
but....for all those longs who are so eager to declare short selling as the reason for the problems in the stock market..did it ever occur to you that short sellers provide support for your long positions by covering their short ones...Ar some point when a stock is falling traders who are short have to close out their positons..They now become buyers...Banning short selling in its entirety has effectively eliminated buyers whpo provide support
The market won't have a balanced equilibrium without covered short selling....
I think as a regular trader you aren't aware of the type of short selling that your broker offers...Does anyone know...