Shorting Listed outside NYSE

Discussion in 'Order Execution' started by bungrider, Jun 20, 2002.

  1. Anyone know if it's easier to get a short off on a listed stock outside of the NYSE?

    Say I try to short a listed stock on Island - does the NYSE uptick rule apply, the nas rule, or no rule?

    Say ABC is trading 20.05 x 20.10, last prints were at 20.10 and then 20.05 (dt). Can I put an offer out on island or instinet at 20.09 and have it displayed automatically, or will my broker's software not send the order to instinet/island until the next uptick?

    Of course I could just go try this, but the idea just popped in my head and the markets don't open for 10 more hours....

  2. you could get your friends who dont understand short selling to buy from you.

    ok im just waking up. actually, it's a pretty good question.

    i should probably delete this post.
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  4. hehe that reminds me of this fill i got today way outside of the market. gotta love risk-free profits.

    yeah, maybe i'll become a stockbroker/daytrader. whenever a trade goes bad i'll just put it out on some ECN that noone uses (attain or litespeed) $1 away from where i got it and call a client and persuade them to buy it. :D
  6. bugrider:

    This is really a good question. I think the issue is, what do the NYSE and SEC consider a relevant tick, and I'm guessing that it all gets down to CQS -- the 'tape.'


    About the other thing: I just read this: "seatholders can buy and sell securities without paying commissions." Everytime I call Bear Stearns about this they give me the song and dance... What I'd save in commish would cover a seat lease but I can't get straight info about that clearing rate.

    So that's the game bung. Own a seat. Have a 1000 traders trading under you. charge 'em each a commish. nice model, eh? a dictionary definition of 'scalability.'

    All I am is a grunt.

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  7. I think you've just described the investment banking industry succinctly.
  8. Can you short NYSE stocks after the close if the only trade is on an ECN and it is lower than the last CQS quote?
  9. No. Not legally, anyway. The last print must be an uptick or zero plus tick. An uptick after hours you have to offer at a price that would create the uptick.
    #10     Jun 21, 2002