Comments on: How to Short a Stock http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/ A blog about trading, finances, success and life itself Fri, 30 Dec 2011 14:18:33 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: WHA??!! http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-23365 WHA??!! Sat, 03 Dec 2011 06:38:55 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-23365 I have no clue how one person can "borrow" a share out of another persons portfolio without them knowing it and then sell it? It makes no sense. What if that same person who they borrowed the shares from decides to sell those shares the same time the short seller is holding on to them. Whats it being backed by? Is it just like our paper bills which aren't really backed by anything either? Thats like saying someone "borrowed" my car while I didn't know it, then sold it for less than whaat it was worth, pocketed the cash, and returned the car back to me the next day. But it really never left my parking lot. Sounds like BS to me. Like someone is just getting some free money upfront from nowhere and then can sell some shares he really doesn't have, and keep that money he got from the sale and subtract it from the amount he got from nowhere. Bam! instant cash...... WTF??? Can someone explain it better or is that whats REALLY going on? I have no clue how one person can “borrow” a share out of another persons portfolio without them knowing it and then sell it? It makes no sense. What if that same person who they borrowed the shares from decides to sell those shares the same time the short seller is holding on to them. Whats it being backed by? Is it just like our paper bills which aren’t really backed by anything either?

Thats like saying someone “borrowed” my car while I didn’t know it, then sold it for less than whaat it was worth, pocketed the cash, and returned the car back to me the next day. But it really never left my parking lot.

Sounds like BS to me.

Like someone is just getting some free money upfront from nowhere and then can sell some shares he really doesn’t have, and keep that money he got from the sale and subtract it from the amount he got from nowhere. Bam! instant cash…… WTF???

Can someone explain it better or is that whats REALLY going on?

]]> By: chrisperruna.com » Blog Archive » How to Make Money Trading Part-Time http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-22172 chrisperruna.com » Blog Archive » How to Make Money Trading Part-Time Mon, 01 Nov 2010 23:31:31 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-22172 [...] How to Short a Stock [...] [...] How to Short a Stock [...]

]]> By: sally http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-18392 sally Sat, 07 Jun 2008 06:44:17 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-18392 Hi Chris- I really appreciate your blog- thanks. You mentioned the use of puts instead of shorting stocks. Do you have parameters that you use for put buying that you could share? Do you generally buy itm, otm ?? Front month or farther out? What do you look for in determining what price & when to buy ( once you have decided on the underlying)? Thanks, Sally Hi Chris-

I really appreciate your blog- thanks. You mentioned the use of puts instead of shorting stocks. Do you have parameters that you use for put buying that you could share? Do you generally buy itm, otm ?? Front month or farther out? What do you look for in determining what price & when to buy ( once you have decided on the underlying)?

Thanks, Sally

]]> By: chrisperruna.com » Blog Archive » On Vacation until Sunday April 6 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-17554 chrisperruna.com » Blog Archive » On Vacation until Sunday April 6 Fri, 28 Mar 2008 12:36:16 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-17554 [...] How to Short a Stock [...] [...] How to Short a Stock [...]

]]> By: chrisperruna.com » Blog Archive » Start Here: Top 20 Posts http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-17193 chrisperruna.com » Blog Archive » Start Here: Top 20 Posts Fri, 07 Mar 2008 14:31:04 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-17193 [...] How to Short a Stock [...] [...] How to Short a Stock [...]

]]> By: chrisperruna.com » Blog Archive » The Best of chrisperruna.com in 2007 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-16331 chrisperruna.com » Blog Archive » The Best of chrisperruna.com in 2007 Thu, 31 Jan 2008 03:39:06 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-16331 [...] How to Short a Stock [...] [...] How to Short a Stock [...]

]]> By: Eagle Creek Oregon Real Estate http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-15750 Eagle Creek Oregon Real Estate Mon, 31 Dec 2007 13:31:28 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-15750 Short sales are looking even better right now. I noticed the inventory is raising locally. Might be a good thing for investors. Short sales are looking even better right now. I noticed the inventory is raising locally. Might be a good thing for investors.

]]> By: Kris http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-13300 Kris Mon, 06 Aug 2007 10:48:59 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-13300 I'll be scanning the market for shorts today, the ones I've got earmarked are SPY, NVR, LFG, BSC, MTB, OMG, GS, CRS, IWM, HD, TTI, C, FED, NC, and NTAP. I'm going to take a look at your Under Armour play as well. I’ll be scanning the market for shorts today, the ones I’ve got earmarked are SPY, NVR, LFG, BSC, MTB, OMG, GS, CRS, IWM, HD, TTI, C, FED, NC, and NTAP. I’m going to take a look at your Under Armour play as well.

]]> By: Chris http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-7096 Chris Tue, 15 May 2007 16:20:57 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-7096 Hp, MSW is under re-design for a new free format layout that should be completed soon enough. Until then, please follow this site and I will let everyone know when MSW re-opens with my detailed equity research. Hp,
MSW is under re-design for a new free format layout that should be completed soon enough. Until then, please follow this site and I will let everyone know when MSW re-opens with my detailed equity research.

]]> By: Chris http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/comment-page-1/#comment-7095 Chris Tue, 15 May 2007 16:10:08 +0000 http://www.chrisperruna.com/2007/05/14/how-to-short-a-stock/#comment-7095 Mark, As you will see if you search the "stocks" category, I look for stocks gaining support above the 200-day moving average. 90% of my buys have been using this strategy over the past six months. I would not buy leaders breaking out at this time because the market is now up more than 25% versus last year. Also search for stocks within 15% of new highs that trade near their 50-d m.a. (with support). Mark,
As you will see if you search the “stocks” category, I look for stocks gaining support above the 200-day moving average. 90% of my buys have been using this strategy over the past six months. I would not buy leaders breaking out at this time because the market is now up more than 25% versus last year.

Also search for stocks within 15% of new highs that trade near their 50-d m.a. (with support).

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