SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Americans 4 "No Own - No Sell" -- Ignore unavailable to you. Want to Upgrade?


To: Ga Bard who wrote (345)10/5/2001 10:16:57 AM
From: GraceZ  Read Replies (2) | Respond to of 455
 
Shorting Serves NO Purpose

Not true. They are the buyers and sellers on both extremes of a stock move. When the public goes long and there is an extreme instantaneous demand, they provide supply. When there is a buyer strike and no buyers want to step forward to buy after a severe decline shorts buy to cover their positions.

The last few days rally was given to us via short covering. Rallies occurring after serious declines are almost always started with short covering. You would know this if you actually made an attempt to learn how stock prices move instead of holding these irrational prejudices.

You'd be surprised just how much information is available when you study "every trade". After studying every trade analysis for a couple years now I can honestly say that it makes little difference who is doing the buying and selling, whether it is long or short. Transparency will not give you any better information for your purposes. What are your purposes? I assume you are trying to predict the direction of stock price. First you are starting off with one very basic misconception and that is that selling makes price decline.

I don't know about you, but if someone told me that one of my basic premises was incorrect I'd want to find out how they knew that.