Do you have to get a confirmation on the bullet execution before you can short. Or is it implied that every time you short a down bid, you would like to actually sell long stock against a bullet? The bullet firms must have to monitor the short sales to make sure the trader did indeed use a bullet prior to selling stock. I imagine the short sale rule is regularly violated either on purpose or by mistake.
Bulleted short sales are not market as "sell short." I just hit "sell" like I am selling a long position. The bullet goes up almost instantly when I hit "hedge position."
.025 * 1000 shares is $25 commish! So you have to pay $25 for the right to short 1,000 shares of stock on a down bid... $25 a pop for providing a legal loophole sounds pretty solid!! Anyone want to partner up starting one of these bullet firms? There are firms that use ISLD to short there brains out outside the NASD rule for an upbid. Since ISLD is not a NASD member. Couldn't you just use one of these firms and save $$$?
How come no retail firms offer bullets? Or is there? Is there some reason it is for trading firms only?
Any idea why retail firms could not offer bullets though? It seems that everyone is governed by the same NASD and NYSE rules. It might be a nice feature... (even with the market bottoming... hopefully!)
We must physically own a bullet before going artificially short. It needs to say bought 3000 BBY in my bullet software before I can sell 3000 BBY without an uptick. All pro firms monitor short sales and sell orders as the fines are extremely steep for violations Robert