Trading the SMH

The last time I checked (January) all of the HOLDRS are uptick exempt for selling short with the exception of HHH.

 

Exempt from SEC Rule 10a-1(short sale rule).

http://nasdaq.com/structuredeq/holdrs_smh.stm

it also says 150% margin on short sale.

 

Best way to play the SOX, rather than a basket, but best as a swing or intraday trading vehicle.

I like the SMH options more. High Risk/Reward. You can get a 2 bagger in a day or two easily. You can also lose 50% in a day as well.

 

Don't be confused. 150% simply means the proceeds of the short (100%) + the usual 50% margin.