As an investor / trader, my favourite term I like when shorting stocks comes to mind is 'unlimited risk'.
You just need to have watched ‘The Big Short’ and have a credit card and you too can be Michael Burry.
Even on a trade that’s currently winning, say you took $10,000 position at $1.00 on BRN (its clear by the poster activity when they got in so I would say not many have done this)
Theres 12 months worth of interest (as BRN was last $1 a year ago), commissions and fees to come out of that.
The 25-50% margin requirement means that shorter would need $2500 - $5000 cash reserve in account for margin calls)
Gross profit to date: $8,300
Net profit: $6,170Tax: 50% deduction > a year & depending on income particulars less say 25%.
Win: $4627.00
Whats lucrative about it? The most you can make as profit is 100% which may happen on one stock every decade.A years stress carrying a margin loan and clicking HC every hour to make sure you aren’t last to close your position.
The ASX most shorted stocks lists chops and changes weekly so not being ahead of what bigger players are doing must suck.
Are people really coming bagging this company coz they’ve made $4627 from it. Bahaha.
One good announcement and that $4627 could have been a 15k loss.
Seems there is a great deal of blind luck involved in shorting and theres many retail here doing it without research which is even scarier in my view.Open UP gaps like the one below would surely wipe out most retail shorters. This was Dec 2020. If its happened once, it can happen again.
Can you handle a 43% short squeeze?
- Forums
- ASX - By Stock
- 2023 BrainChip Discussion
As an investor / trader, my favourite term I like when shorting...
-
- There are more pages in this discussion • 1,846 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add BRN (ASX) to my watchlist
(20min delay)
|
|||||
Last
24.5¢ |
Change
-0.030(10.9%) |
Mkt cap ! $480.8M |
Open | High | Low | Value | Volume |
26.0¢ | 27.0¢ | 24.0¢ | $4.928M | 19.44M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
35 | 1304197 | 24.5¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
25.0¢ | 839958 | 18 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
33 | 1301197 | 0.245 |
78 | 2228316 | 0.240 |
39 | 1426941 | 0.235 |
43 | 796804 | 0.230 |
17 | 1156322 | 0.225 |
Price($) | Vol. | No. |
---|---|---|
0.250 | 839958 | 18 |
0.255 | 461123 | 11 |
0.260 | 379139 | 12 |
0.265 | 859068 | 13 |
0.270 | 636077 | 15 |
Last trade - 16.10pm 16/10/2024 (20 minute delay) ? |
Featured News
BRN (ASX) Chart |
The Watchlist
JBY
JAMES BAY MINERALS LIMITED
Andrew Dornan, Executive Director
Andrew Dornan
Executive Director
SPONSORED BY The Market Online