General Trading Chat

i once thought it's 'clever' to short for quick money in a correcting security.. during panic selling time, it'd be quicker money making. of course anyone can short, ours is a free country. but ask any of the owners of the listed companies... all of them would say shorting should be controlled. because they know how difficult it is to build and maintain a business, which the shorters might not even have felt in their dreams. well, making money is everyone's choice as long as it's not illegal... yeah, if it was possible, some people would have shorted during the period before 1947 also if there was NSE then.

i think if a stock is correcting from it's high due to its own negative factors, shorting can be considered okay... but the current scenario is like, while the home is ablaze, we are pouring some more oil saying "lets get some more heat" or like wanting to light the cigarette... this is just my thought, banning short or not is decision the authorities have to take..
Completely agree with you sir. Shorting should be stopped for all those companies which had their IPOs reasonably priced or whose promoters actively discouraged retail investors from investing in their companies during the bull-run frenzy-buying at extreme valuations - valuations which did not justify the company fundamentals. All such companies should be helped in bad times.
Jai Hind.
 

AJK

Well-Known Member


i'm not against shorting and making money. investors also do it as hedge. but my view is govts cannot let the unnecessary falling beyond a limit if the current scenario continues. they may take counter measures including banning shorts or even halting trading. in my humble opinion, playing with FnO is okay, but remaining equity values should be protected... imagine all the companies around the world start to lay off amid this already ongoing crisis. i'm just thinking.. call me a critic if you want, there were many before.

my thought is why to let it go out of hand into a recession? why not intervene before that and protect? is that possible? debatable..

to read:
Economic scarringThe long-term impacts of the recession
https://www.epi.org/publication/bp243/
 

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