4 ms·
> The ability to short a stock, which I still can't believe isn't available. Honest question: is having access to shorting THAT much different than having the
by hbosch 7y ago
> The ability to short a stock, which I still can't believe isn't available.
Honest question: is having access to shorting THAT much different than having the ability to buy puts/sell calls? Shorting isn't the only way to profit in a bear position
- steven2012 7y agoYes, a pure short position is much cheaper than buying puts. You pay a lot of premium with options and almost no premium with shorts, depending on what the rate to borrow is. Also, liquidity is much better as are spreads. It makes a huge different to the profitability of a trade.
- nodesocket 7y agoEverytime I've bought PUTS its been a losing proposition; Kodak and Beyond Meat (don't want to talk about it). So, I made a hard and steady rule for myself, no more buying PUT options. Instead, just find high quality companies I want to go long on. It's much easier to pick winners than trying to predict losers and the timeframe. I am a big opponent of shoring and buying PUT options.
- webninja 7y agoWant to give it another chance with $TLRY and $CHWY? :D They’re both heading down but you might still (or might not) lose money if the option’s market has already anticipated and priced in the drop. You might also still lose money if IV decreases. Maybe try it with a paper trading account?