3 ms·
How's the FB short working out for you?
by jusben1369 13y ago
How's the FB short working out for you?
- gfodor 13y agoI realize this is pure snark, but fixating on daily price fluctuations is no way to think about a FB short thesis. It's always long term play if you're betting against the company. You're waiting for the market to come to its senses, which can take a long time.
- toomuchtodo 13y agoCue all the folks who got burned BADLY on shorting TSLA. Disclaimer: TSLA stock owner.
- jusben1369 13y agoIt was just tongue in cheek snark on snark. And short theories can be based on hour, day, week, month, quarter year. So it's not always a long term bet.
- foobarqux 13y agoShorting is never a long term play. The cost of shorting increases with time.
- RobAtticus 13y agoIt's not really a daily price thing at this point. If you shorted FB from the beginning and got out in the 20s or teens, sure you made a lot of money. But since it bottomed out (with plenty of people still calling for shorting), it rose to $31 before it started another sustained flat/downward trend. If you've had it short for the past two months, you're position is hurting quite a bit. I haven't seen a lot of evidence that a FB short is a good idea since it first IPO'd.
- laxatives 13y agoI thought it was common sense not to short anything long term because the market can take far longer to come to its senses than you can remain solvent.
- foobarqux 13y agoMore importantly you have to pay a regular fee to the owner as long as you are borrowing their stock.
- MichaelGG 13y agoThere's plenty of reasons to not do shorts, but the FB IPO might not be one of them.