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Re: MrDemas post# 75043

Saturday, 06/16/2012 4:37:25 PM

Saturday, June 16, 2012 4:37:25 PM

Post# of 141874
For your 5000$ you could short a whopping 2000 shares and possibly make not even enough to cover commissions. Reg T requires 2.50 per share for margin as a minimum. So it is not economically feasible to short low penny scams like this one. After the 2.50 per share there is likely a borrow fee as well. So putting money in a savings account is far more profitable. That is why the real short numbers (the biweekly ones) are most always next to zero on even the most obvious penny frauds.

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