What would stop someone from taking advantage of wide bid-offer spreads in extended hours trading via short selling?
I understand that the less volume occurring in a security, the less liquidity (the wider the bid-offer spread). So my question is, in pre-market and after-hours trading, when bid-offer can widen ...
Apparently there's a NASDAQ rule called something like short sale circuit breaker which limits how much a stock can be sold short after a certain drop in price or something like that. It really makes ...
When talking about short interest, the 'Days To Cover' is the avg number of days it will take to cover the short position and bring the short interest to 0. But is this figure actually of any use? It ...
In these investopedia articles, they are giving the impression that 'Buying to Cover' is preferable than getting a margin call: Investopedia - Buy To Cover Definition Investopedia - Short Covering ...
This link states: Shorting (or selling short) allows professional traders to profit regardless of whether the market is moving up or down, which is why professional traders usually only care ...
Short sellers need to borrow stock in order to short sell. I understand they typically get this stock through a broker though some sort of arrangement where they pay interest. I was wondering, how ...
I'm just began playing in the stock market. I just executed a SELL, because I think the market is going down. I don't actually have any of this stock. Apparently, it's quite common strategy. I would ...
Considering the downward spiral in the market (which many are predicted will continue), I was thinking perhaps selling short would be the right strategy. But from what I can tell on my brokerage ...
What is a leveraged account and why is it mandatory on some trading platforms to operate through leverage? Also, what are the associated risks? Could I end up losing more money than I invested?
Can someone please explain the meaning of 'shorting' a stock with an example?