2 ms·
Highly regarded people unite :D More seriously though: unless you have privileged information or have done truly extensive research, do not short stocks. And i
by short_sells_poo 2y ago
Highly regarded people unite :D
More seriously though: unless you have privileged information or have done truly extensive research, do not short stocks. And if you do have privileged information, still don't short stocks because unless you have enough money to defend yourself against insider trading like Musk and it's ilk, it's not going to be worth it.
It's perfectly reasonable to determine that a particular high growth stock is not going to perform as well going forward, in which case I'd shift allocation to other, better candidates.
Generally, being long equities is a long term positive expected value trade. You don't have to time the market, just be persistent. On the other hand, as you correctly alluded to, shorting equities requires decently precise timing, both on entry and exit.