UGAZ drops too fast? No worry today 1 for 10 reverse split!

Discussion in 'Stocks' started by GloriaBrown, Dec 20, 2017.

  1. Just around 10% of its peak price in 2000....
     
    #11     Dec 20, 2017
  2. That's not the relevant issue...

    C is up 650% off of its 2009 low. No reverse splits since.

    Look at PCLN... got down to between $1-$2/share. Now, $1800
     
    #12     Dec 20, 2017
  3. sss12

    sss12

    your $10 became $75 (you only have 1 sh post revers). plain vanilla XLF went from $4 to $30. pretty much same.
     
    #13     Dec 20, 2017
  4. No surprise there. Never said "C is the greatest trade in the world"... just using it as example of a reverse split that worked out, at least so far. (We don't know whether the reverse split had anything to do with the price bounce.... frankly, I doubt it. The reverse split was to allow institutions to trade in the issue as many are prohibited from trading issues <$5 or <$10/share.)
     
    Last edited: Dec 20, 2017
    #14     Dec 20, 2017
    sss12 likes this.
  5. S2007S

    S2007S

    You can literally short this over and over again and make unlimited amounts of money....
     
    #15     Dec 20, 2017
  6. Yeah.... so long as it keeps crashing. Reverse splits are usually shorting traders "wet dream come true". It's almost like the announcement of a reverse split is an automatic fade.

    :)
     
    Last edited: Dec 20, 2017
    #16     Dec 20, 2017
  7. Sig

    Sig

    Take a look at the borrow rate. And the max short term upward move it's seen. One could say the same about shorting VIX futures but it's picking up nickels in front of a steamroller.
     
    #17     Dec 20, 2017