...We Welcome You To The Resverlogix HUB withIn The AGORACOM COMMUNITY!

Free
Message: Strong versus weak hands....

We've had discussions like this (shorting strategies) on the other board a few years ago.

Right now I have a sell order for some of my shares at a very high price ($20+) which I'd be happy to get. The order is open until the end of August at which time I just place it again.

It is my understanding that while these shares are being offered for sale by me, another broker cannot "borrow" them from my account to allow them to be available for a shortseller to use.

Does anyone know if that is in fact true?

If so, I will place similar sell orders for a substantial portion of my holdings ($30+) and make them similarly unavailable for shorting. My brokerage gives me a warning stating the offer may not be accepted when I submit this but if I accept the warning, it submits the sell transaction.

Just thinking that maybe one day a desperate short seller that is being squeezed to buy back his/her shares (because RVX is being bought out or makes a great announcement) may find that there are not many available for sale and will be forced to give me my $20+.

Thoughts?

masila

Share
New Message
Please login to post a reply