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Strategies & Market Trends : Americans 4 "No Own - No Sell" -- Ignore unavailable to you. Want to Upgrade?


To: joseph krinsky who wrote (251)10/2/2001 10:16:23 PM
From: Jorj X Mckie  Read Replies (1) | Respond to of 455
 
Whenever a loan is extended (that is what margin is), money is created. This is a simple concept of economics. And you are correct, this allows stocks to be driven up higher by creating artificial demand. Which, conceptually, should bother you just as much as shorting stocks.

I was asking to see if there was any consistency in your reasoning.



To: joseph krinsky who wrote (251)10/3/2001 12:03:57 AM
From: $Mogul  Respond to of 455
 
Esp. now with 4-1 margin..that jsut creates a false sense of liquidty..in turn a house of cards built on vapor.