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Posted On: 12/18/2020 9:03:19 AM
Post# of 145247
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Not really a good example . He probably only had that one stock is his account . No other assets either cash or other securities in his account may promp an immediate call . But normally you have 3 days to cover the call .
How a Short Seller's Account Went to Negative $106K
https://www.investopedia.com/articles/investi...e-106k.asp
Any dividend would cause covering, which would cause margin calls, and more covering, and more covering... $2 may be a bit much, but it should be considered. Ideally when the short interest is extremely high.
How a Short Seller's Account Went to Negative $106K
https://www.investopedia.com/articles/investi...e-106k.asp
Any dividend would cause covering, which would cause margin calls, and more covering, and more covering... $2 may be a bit much, but it should be considered. Ideally when the short interest is extremely high.
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