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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 203.14-0.8%Jan 9 3:59 PM EST

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To: gvatty who wrote (247471)2/8/2008 6:58:27 AM
From: david1951Read Replies (1) of 275872
 
>>Can you short a stock for 13 months?

Just like buying a stock, you can put in a stop (A buy to cover). Usually the stop has to be at least 10 cents higher than the price the stock is currently trading at. Shorting is much riskier because your risk in unlimited, if you don't have a stop in or aren't closely monitoring the stock. For this reason many short sellers tend to cover the same day, rather than hold the stock overnight and expose themselves to some unknown risk that could send the stock much higher in the am.

Personally, I find shorting stressful. Recently, shorted AM but wasn't comfortable holding and I missed this last big drop. The only money that I have made on AMD is from shorting, after taking a large loss from my buy at 12.95. Have shorted it three times recently and made money on all trades. However, the stress level can be pretty high. If you have never shorted a stock it may be better to go with a stock heading in a general downtrend, rather than one as volatile as AMD, which can jump up suddenly based on rumors.
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