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2007-06-25 06:00:14 · 4 answers · asked by James 1 in Business & Finance Investing

4 answers

You got some good advice from JJ. Since you seem to be new to investing, get some more experience before you sell short. I've made quite a bit of money doing that, but you can lose quite a bit if you don't know what you're doing. And, with the stock marketing going up, few stocks are going down.

2007-06-25 08:04:36 · answer #1 · answered by jdkilp 7 · 1 0

Yes it is but like any strategy involving margin and possible tax consequences you need to really understand what you are planning on doing before you do it. The potential losses are unlimited here and the potential gain is only from the sale price to zero.

2007-06-25 15:49:09 · answer #2 · answered by Chris 5 · 0 0

Yes. But if you need to ask that question you're not ready for that strategy. Be very careful, a small return beats a loss hands down every time.

2007-06-25 13:44:31 · answer #3 · answered by Anonymous · 0 0

Yes. It means that you are betting the stock price will decline.

2007-06-25 13:07:19 · answer #4 · answered by Ronin 4 · 1 0

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