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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?


To: vampire who wrote (24249)1/24/2002 11:09:33 AM
From: HairBall  Read Replies (3) | Respond to of 99280
 
Metsin6: while i understand you have a greater initial investment, the end result is the exact same

Then in lies the rub...

Let's say you "just" have 10 thousand dollars to invest, for an example....

If you go long on a five-dollar stock that goes to 10, and you sell at ten (not taking commissions and taxes into account) you double your money, you now have 20 thousand dollars. If you take that same ten grand and use it short a ten-dollar stock and cover at 5, you now have 15 thousand dollars. No fuzzy math there...

Regards,
LG