Shorts Position, page-30

Well that is not necessarily wrong Monkey. Consider the alternative situation. You spend $1,000 to short $10,000 worth of BDR at 24c and the stock moves to 27c quickly and there is not much volume on the offer side you're stuck with a loss of $1,250. That is the $1,000 you originally put in plus an extra $250 you owe the CFP provider. All about risk/reward, but obviously if a stock is in a clear downtrend the risk is to some degree mitigated. Shorting for example BDR at the moment that is starting to form a nice uptrend (failed again to make a higher high today unfortunately though) carries more risk of your position moving against you.