brainlet her
what does it mean when a trader bets against a company?
Brainlet her
Ryan Cooper
Henry Perez
They open a short position on their stock
IE Borrow a shit load of their stock
Sell right away
Buy back after stock tanks
Pay back lender
Keep the difference
Caleb Hill
Sell shares they don't Own
Replace them with a cheaper price.
David Rodriguez
Borrow stocks, sell, buy back cheaper, keep profits.
Adam Mitchell
Another brainlet here. So they buy the originally borrowed stocks when the price tanks?
If so, what time window do you have in order to do this?
Blake Smith
Does your brain just not work? Is there even one in there?
William Gonzalez
If the price starts going up, you're at some point forced to buy back at a loss to pay back the loan. Do some research, friend. You will find mostly scorn and ridicule here. Investopedia is a good resource.
Bentley Long
If the stock keeps dropping in price you can buy back whenever you want.
Daniel Perry
No I get that. I was asking what's the time in which you need to pay the lender more specifically? So how long is this short supposed to last? Can it be hours, days or mere minutes?
Owen Wood
You can also buy shares and put contracts to sell at the price before it tanks.