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kerry-is-my-prez

(8,133 posts)

26. Stock Brokers are sales people who earn commission

Fri Mar 22, 2024, 07:41 PM

Mar 22

Don’t go through them unless you know exactly what you’re doing. Better to open an account at a reputable place that is bound to be responsible for your money (a fiduciary). An investment company. I think Vanguard might do that. Fidelity no longer will act as a fiduciary. Otherwise, you would also want to wait a few days or weeks to buy at the absolute rock bottom. Even then, you would want to know that there is a chance the stock will go up in the future. Like maybe Elon Musk or someone else is going to pump money into it.

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how do I short truth social on monday? I have never shorted a stock before [View all] prodigitalson Mar 22 OP

Stay away. It's like arguing with a troll. mahatmakanejeeves Mar 22 #1

that stock is gonna get way overvalued for a real short period of time prodigitalson Mar 22 #2

I'd go through a stock broker MLAA Mar 22 #4

I've got a schwab account I can place the trade myself. I just don't know the basics of a short sale prodigitalson Mar 22 #8

No offense but if you have to ask, you probably shouldn't Trekologer Mar 22 #15

This FHRRK Mar 22 #21

Biggest takeaway Mountainguy Mar 22 #35

You first need to gave a margin account to short a stock calguy Mar 22 #28

Stock Brokers are sales people who earn commission kerry-is-my-prez Mar 22 #26

doubtful... I think it'll be worthless AFTER the election. WarGamer Mar 22 #6

I think that's right but it'll eventually crash to almost nothing prodigitalson Mar 22 #9

If Trump loses... it won't be worth the old gum on the floor of the restroom at a Grateful Dead concert. WarGamer Mar 22 #10

There's residuals in that gum. Not so much in the stock. Lochloosa Mar 22 #33

There's a rule about shorting. Turbineguy Mar 22 #3

And the stock market can stay irrational longer than you can stay solvent Trekologer Mar 22 #17

This - you can lose an unlimited amount of money if the stock goes up quickly getagrip_already Mar 22 #20

You got that right. Turbineguy Mar 22 #38

I'm a daily stock/options trader... WarGamer Mar 22 #5

Thanks for the insight! MLAA Mar 22 #12

I'm talking about 200-250 bucks in my Schwab account I play with prodigitalson Mar 22 #13

then if you nail it, just right you might make $20 WarGamer Mar 22 #16

ok... that answers my question prodigitalson Mar 22 #18

Did some work for Wade Cook back in the day. Prairie_Seagull Mar 22 #14

Shorting a stock is hard if you haven't done it before. jmbar2 Mar 22 #7

so I can't just say short a couple of hundred bucks worth of it when it is like 50 bucks a share prodigitalson Mar 22 #11

if you short 4 shares at 50... and it dips to 3...you can make $188 WarGamer Mar 22 #19

not a bad return. what would the interest be in a year do you reckon? prodigitalson Mar 22 #22

The interest rate is a point or two over the Fed Funds rate... maybe 6-7%? WarGamer Mar 22 #23

so less than 20 bucks? prodigitalson Mar 22 #24

yeah. WarGamer Mar 22 #25

OK, that'll be fun. At 50 bucks a share I could short four shres wiith 300 bucks to cover a margin call prodigitalson Mar 22 #27

You would still owe the difference I believe MichMan Mar 22 #29

then they close the account or take money from your other holdings WarGamer Mar 22 #30

yikes prodigitalson Mar 22 #32

You could always buy Puts. Hassin Bin Sober Mar 22 #34

This is sort of how it's done: no_hypocrisy Mar 22 #31

Puts/Calls Zo Zig Mar 22 #36

Get in line. SunSeeker Mar 22 #37

So did you short the stock today? former9thward Mar 25 #39

He's on the phone with his broker... something about a margin call WarGamer Mar 25 #40