Aloha everyone, sorry if ive got this completely wrong, i trade oil not stocks, and have been out drinking day t night since wednesday, so got very out of touch with the market... But let me get this straight- The fed has banned all 'shorting' of financial stocks??? So when i log onto my sb firm's trading platform and look at the chart from Golman sachs, JP morgan, and all other financials..., the line can basically only be going vertically straight up????! :eek: :eek: :eek: LOL Cos its now ILLEGAL for anyone to sell down.., So the ONLY 2 options are to not trade financials at all, or everyone who does trade it can ONLY BUY, and so the price can ONLy go up???? If this is actually true, why the fuk haven't all of you just put all your life savings into1 trade buying JP morgan at thousands quid per point, knowing that the market can only be going up???
Markets can go down without the help of short selling, you know. You do know, right? Oh, you don't? Oh God Oh Man OH GOD OH MAN OH GOD OH MAN OH GOD!
cause every long only fund manager that was long Financials now has a week and a half to get out of their longs
Yes but it will only go down without shorts sellers, if everyone who has bought decides to cash in now and just end their profit taking after barely a few days.... LOL And with the fed not looking to lift the ban anytime soon why would anyone be cashing in now??
LOL I trade crude oil fulltime and make a living off it, trading at £1 tick!! So i doubt i will taking trading advice off you.. lol
You are mixing up short selling with a stock going down. A stock falls and continues to fall until it reaches price levels where buyers are interested in the stock. If ABC is trading at $10 and most of buyers are only interested to step in at $5, the stock wille eventually drop 50% even with a ban on short selling. Short selling just made this process quicker and faster. I don't think nothing is going to change eventually. A bad company will continue to be a shitty stock no matter what.