Day Trading Stocks & Futures

The borrower wants to short the stock. After he receives the stock from the lender he sells it in open market.

If the stock goes down after he sells it, he buys it back at a lower price and returns it to the lender.
 
The borrower wants to short the stock. After he receives the stock from the lender he sells it in open market.

If the stock goes down after he sells it, he buys it back at a lower price and returns it to the lender.
you didnot mention about hedging benefit that i mentioned so i assume its not for that purpose. if he just wants to simply short, he could do that with 125% amount, what is the need for borrowing it from the lender? may be i am missing
 
He does not have the shares in his demat. How can he sell it?
oh then he is not shorting. he is selling it now and in future he buys back and retain the profit and gives back the shares. am i correct?
 
excellent. he brings in 5lk ie 125% and borrows stock worth 4lk ie 100% and sells it gets back 100% ie 4lk now out of 125% he brought in initially, he got back 100% and can make use of this 100% amount to trade anything till he plans to buys back the sold stock of borrowed. so ideally he is cushioned with just 25% to sell stocks worth 100%. amazing! thanks for the explanation.
Do you any experience as lender? howmuch lending fee can we expect approximately? thanks in advance
 
Experts, any opinion about Oracle Finance Service ?
Currently its PE is <20 and offering dividend of 5%.
Any view on short term/ long term holding?
By viewing the charts, it looks like good candidate for swing trading though.
 
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