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Of course there is. You can short, it's pretty profitable.
by cik 7y ago
Of course there is. You can short, it's pretty profitable.
- dragontamer 7y agoYou can only short if you can find someone willing to lend you shares. Shorts can "run out of shares to borrow" in practice. Similarly, you can buy put-options (or sell call options) on the shares, but only if you can find a counterparty to accept the "other side" (that is, a short-put or a long-call) of your bet. Run out of counterparties, and it becomes impossible to trade. Reality becomes evident at times like this when volume is way, way, way higher than anybody expects. -------- I admit that I don't know what happened today with Uber, but we can't just assume "invisible hand / market is always perfectly efficient". Reality simply doesn't work like that.
- Domenic_S 7y agoI'm not sure what value your comment is adding - look at uber's option chain, there's plenty of volume everywhere: https://www.nasdaq.com/market-activity/stocks/uber/option-chain https://www.nasdaq.com/market-activity/stocks/uber/option-ch...