laleh & freeus: Re: shorting Nextel and other stocks.
Way back in the posts there was some discussion on shorting stocks. I believe freeus shorted ,by accident, and laleh answered with it's better to go long, you can make more. For what it worth, you're right laleh, but generally when shorting, expecially Nextel, the contract can be closed very quickly and without the expense of actually buying the stock and holding. Gain potential may be less, but your hearbeat will be increased to that of an E ride at Disneyland.
In any case, your emotional make up has to be able to sustain the drain of gambling fever, and your pocketbook has to be ready to back a wrong move. When shorting, remember: when you get the bad news on a company, you're last to get the news. Don't short on bad news, experts have the news piped in first and the market has already responded.
In summary, shorting can be less expensive than buying long, because, you don't end up owning the stock. You must close the contract with a purchase, thus, gain or loss is imminent.
Just another opinion from
the quiet man
Al |
