Tagged Questions
2
votes
2answers
46 views
Is 'days to cover' a useful metric in identifying the potential for a short squeeze?
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 ...
0
votes
1answer
51 views
When shorting stock, why does buying to cover help limit a trader's loss when the stock rises?
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 ...
1
vote
2answers
145 views
How can I make a profit by selling a stock short?
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 ...
10
votes
5answers
193 views
If I have all this stock just sitting there, how can I lend it out to people for short selling?
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 ...
7
votes
3answers
243 views
If I sell a stock that I don't have, am I required to buy it before a certain amount of time?
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 ...
11
votes
3answers
582 views
Why is short-selling considered more “advanced” than a simple buy?
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 ...
5
votes
1answer
242 views
What are the risks associated with leveraged trading accounts?
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?
13
votes
2answers
527 views
What is the meaning of “short selling” or “going short” a stock?
Can someone please explain the meaning of 'shorting' a stock with an example?
