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Re: peterminator post# 1149

Saturday, 11/09/2013 5:00:03 PM

Saturday, November 09, 2013 5:00:03 PM

Post# of 20425
Could be done but extremely unlikely for the first 30 days.

pretty much nothing but talk for right now. Penny stock mentality and tactics by blowhards isn't going to work here. I wouldn't worry about it!!!


To be able to short a stock, you usually need to borrow it from an institution such as your brokerage firm. For them to lend it to you, they need an inventory of this stock. Here's where the difficulty can arise with IPOs and short selling: an IPO usually has a small amount of shares upon initial trading, which limits the amount of shares that can be borrowed for shorting purposes. On the day of the IPO, two main parties hold inventory of the stock: the underwriters and institutional and retail investors. As determined by the Securities and Exchange Commission, which is in charge of IPO regulation in the U.S., the underwriters of the IPO are not allowed to lend out shares for short sale for 30 days. On the other hand, institutional and retail investors can lend out their shares to investors who want to short them.


Don't listen to me. I am here for the fun of it. Don't buy/ sell/ or trade based on what I write. My posts are my opinion only!!! not to be used for investing purposes!!!! Look somewhere else! No need to reply. Most will never receive an answer!