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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony,

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To: profit_guy who wrote (6720)1/27/1999 9:25:00 PM
From: xcr600  Read Replies (1) of 122087
 
Boxing-

having both a long and short position in the same stock. All things being equal, when the stock moves, your net change will be zero. Some firms (Etrade) allow boxing with the same account, some don't (Datek). It's a great way to ride out a squeeze in a stock that is hard to borrow (SRCM recently). Then when the squeeze is unwinding, you sell the long and keep the short shares for the ride back down. There also were tax benefits at one point, but I believe the loophole has been closed.

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