Is Shorting Ethical ?
- Thread starter vince
- Start date
Market is zero sum game with -ive bias for most of us. Due to brokerage, stt, tax cost which always makes it -ive for individual trader i.e. if we buy and sell at same price, our account balance goes down by few Rs.
On a larger level, it is 90% people's loss resulting into profit of 10%. Again skewed relationship here too.
Shall I still calling trading as zero sum game ? Absolutely no for me.
What is ethical and what is unethical depends on individual's belief and both camps are right. (Is eating non-veg ethical or non-ethical ?)
For me, I am in market to make money.. and shorting is sure way to get good return in shorter time. Market falls faster then it goes up. Fear is stronger then Greed.
If somebody is loosing in the mkt, then it is because they have not done the ground work, haven't got the basics in place but want to gamble make quick money in mkt..
So I consider it is perfectly fine and ethical to short.
Just sharing my views.. feel free to disagree with me.
Happy Trading
On a larger level, it is 90% people's loss resulting into profit of 10%. Again skewed relationship here too.
Shall I still calling trading as zero sum game ? Absolutely no for me.
What is ethical and what is unethical depends on individual's belief and both camps are right. (Is eating non-veg ethical or non-ethical ?)
For me, I am in market to make money.. and shorting is sure way to get good return in shorter time. Market falls faster then it goes up. Fear is stronger then Greed.
If somebody is loosing in the mkt, then it is because they have not done the ground work, haven't got the basics in place but want to gamble make quick money in mkt..
So I consider it is perfectly fine and ethical to short.
Just sharing my views.. feel free to disagree with me.
Happy Trading
Stock market is the name of taking chances due to its unpredictable behavior of moving up or down all depends upon fund position & its flow and charges, taxes, scams etc. are always create huge gape in fund flows then shorting is the only weapon to recover the loss or gain a bit & +tive capital gain under 1 year time period have to pay a very hand some tax payment .I think 100 out of Max. 10 guys have the experience of the same.
See the attached link & understand the value of Shorting
http://www.traderji.com/words-wisdom/32690-stock-market-nothing-s-glass-fruit-juice.html
If we find shorting in any financial instrument then holding will be disorder & long term vision will be very risky or very pain full for heart patient or you all can see by your nude eyes for example hang sang is moved up to 23000 mark but its provided very less return 6 to 8% only. means if market will be able to move up tremendously then chance of gaining will be minimized & every increase in the prize of stocks will require huge funding.
When do market at its lower level then normal funding provide huge boost in the rate of stock.
That’s why? Shorting is very important as per current model of the market because Current Model is not supported to a consistent long term hold. Besides that an Investor also requires a wise full calculation of capital gains with respect to tax payment in one year time period.
As well as shorting is a two side knife that’s why average investments at final bottom level are the key points to gain A define profit which always supports very selective trades & best fundamental stocks at lower level.
Above mentions points are my thinking if any body likes then have the same or forget it.
See the attached link & understand the value of Shorting
http://www.traderji.com/words-wisdom/32690-stock-market-nothing-s-glass-fruit-juice.html
If we find shorting in any financial instrument then holding will be disorder & long term vision will be very risky or very pain full for heart patient or you all can see by your nude eyes for example hang sang is moved up to 23000 mark but its provided very less return 6 to 8% only. means if market will be able to move up tremendously then chance of gaining will be minimized & every increase in the prize of stocks will require huge funding.
When do market at its lower level then normal funding provide huge boost in the rate of stock.
That’s why? Shorting is very important as per current model of the market because Current Model is not supported to a consistent long term hold. Besides that an Investor also requires a wise full calculation of capital gains with respect to tax payment in one year time period.
As well as shorting is a two side knife that’s why average investments at final bottom level are the key points to gain A define profit which always supports very selective trades & best fundamental stocks at lower level.
Above mentions points are my thinking if any body likes then have the same or forget it.
Last edited:
| Thread starter | Similar threads | Forum | Replies | Date |
|---|---|---|---|---|
| A | Best broker for Shorting? | Brokers & Trading Platforms | 3 | |
| B | Shorting and Long volumes for a future | Futures | 0 | |
| T | Leverage for Options Shorting | Derivatives | 2 | |
|
What is marginal eligibility for option shorting. | Derivatives | 1 | |
| N | Tips/Precautions while shorting medium to low liquidity stocks | Advanced Trading Strategies | 0 |
Similar threads
-
-
-
-
-
Tips/Precautions while shorting medium to low liquidity stocks
- Started by ndtrader
- Replies: 0