General Discussion
In reply to the discussion: Online trader begs for help after his short goes south [View all]Warren DeMontague
(80,708 posts)When I threw that post off, it sounded a bit weird in my head.
What can I say, I'm not a day trader, etc. ..ask me about the finer points of the Jerry-Phil interplay in spring '77, i have a better knowledge base.
The bottom line - correct me if I'm wrong, here- is he's potentially on the hook for an unspecified and potentially undefined (ie no real upper limit) sum which he may not have, as distinct from plunking down a shitload of cash for an investment and then, yes, you might lose that cash but you're not going to lose more than the initial outlay.
But a margin account is more like a line of credit, eh.
All right, bear with my ignorance, since this isnt the sort of gambling I engage in; Im a craps guy, myself- on short selling, how exactly is the time frame structured? You say broker is gonna want the stock back right fucking now if if goes through the roof (like here) but is it generally some set window in which these guys wait for the price to go down?