Short selling. Us "little peps" normally cannot short these subpenny
stocks. When one shorts a stock, one is selling before buying. Therefore for one to make a profit the stock must go lower than the selling price so that one may buy it and repay the broker, who has loand the stock to the seller.
** There is no time limit, just like there is no time limit when one buys a stock. **
However, there is a BIG danger in shorting. In theory there is no limit on how much one could loose. If the shorted stock moves up astronomically, one could loose everything because of lack of funds to buy stock back to repay broker back the loaned stock.
Brokers, of course, protect themselves by requiring a margin account and making a call on that account long before the client runs out of funds in client's margened account.
I remind those who want details to ask their broker for booklet on the subject or google such.
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