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Re: Toxic Avenger post# 146164

Tuesday, 12/06/2011 2:59:30 PM

Tuesday, December 06, 2011 2:59:30 PM

Post# of 312102
Still dead wrong. http://www.trade-sage.com/TradeSage/Calc.html

Plug in the numbers. 75% is the answer.

Despite "receiving" $40,000 in your example, you have a $40,000 margin loan debt and $40,000 less in buying or shorting power. Your "investment" is $40,000.

Furthermore if one shorted JBII at $4, at $1 their online brokerage account would say "75% profit" -- it is absolutely impossible to profit more than 100% on a short position.

But don't take my word for it -- use the simple calculator in the link above. Call Etrade. Call Ameritrade. Ask somebody with actual successful shorting experience.

Raw

Research & analysis on some of my favorite stocks is located on the sticky note on the SwingTrade board.

http://investorshub.advfn.com/boards/board.aspx?board_id=1781

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