AS far as legal it is. And you are adding liqudity to the market place . As a speculator it's up to you to short. Most people don't know this but stocks fall faster than they go up. So short term you can make money if the stock falls but if it goes the other way you will lose.You might want to buy puts....(options)
2007-12-22 10:18:07
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answer #1
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answered by Kris Z 2
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That's like asking is it right to use your left hand if your right handed. It's part of the traders toolbox, you need to be able to play both sides. Shorting allows you to buy at a cheaper rate if you so desire and if you buy the puts allows you to save your profits if the stock goes down. There is absolutely every reason to short when the situation calls for it.
2007-12-22 19:32:49
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answer #2
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answered by Anonymous
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Of course, you are speculating that the stock will go down just as you would when you thought it would go up. It is legal and common practice for day traders. If I took a risk on a stock to go up and you shorted, ah well, you did better. Lastly, only invest what you can afford to lose
2007-12-22 17:45:50
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answer #3
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answered by Dr Dave 6
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Why wouldn't it be? I think it's wrong to be forced to only bet on a stock you think will go up. The market is not always going up so short selling gives you the opportunity to profit from either side. Also, stocks fall faster than they go up due to investor panic so shorting can be very profitable.
2007-12-22 17:48:20
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answer #4
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answered by vagabond79 2
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Not only is it right to make money by shorting stocks, but many people make a lucrative living doing it. Make sure you know what you are doing before diving in head-first...
2007-12-22 18:35:31
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answer #5
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answered by bigtimeoperations 3
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Don't get ethics involved with the stock market. Invest in all the sins.... tobacco companies, casinos, alcohol producers, firearms, buy companies that use slave labour... all the bad things make you all the money. If you feel bad about it for some reason (wuss), you could throw all your gains away... ie donate some to the charities that your stocks hurt to begin with.
2007-12-22 19:22:38
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answer #6
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answered by Anonymous
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It is a legal, and often these days, favorable option. When you expect a stock to go up, what is wrong with a "long" position ? so if you expect down, what is wrong with short ?
2007-12-22 17:47:30
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answer #7
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answered by The Advocate 4
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What?!!!!
All's fair in love, war and the stock market!
2007-12-22 17:44:57
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answer #8
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answered by Anonymous
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yes of coure short them buy them whats the differsnce
2007-12-22 20:50:57
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answer #9
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answered by Valentine Smith 5
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ARE YOU KIDDING? A LOT OF PEOPLE, MAKE A LIVING SELLING SHORT. PERFECTLY LEGAL. A STRATEGY MOST PEOPLE DON'T EVEN KNOW ABOUT.
2007-12-22 17:48:24
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answer #10
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answered by SCOTT FREE 3
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