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Traders Cafe
(Total Views: 100)
Posted On: 01/30/2021 8:17:58 AM
Post# of 27260
Posted By: dw
Investopedia:"In short selling, a position is opened by borrowing shares of a stock or other asset that the investor believes will decrease in value by a set future date—the expiration date. The investor then sells these borrowed shares to buyers willing to pay the market price. Before the borrowed shares must be returned, the trader is betting that the price will continue to decline and they can purchase them at a lower cost. The risk of loss on a short sale is theoretically unlimited since the price of any asset can climb to infinity."

Question 1: Borrowing shares from whom?
Question 2: How do you sell a borrowed share that you still owe on?
Question 3: Is this all hedge fund controlled?

Anyone?

What would the OTC BE LIKE WITH NO SHORTS????????


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