You should short sell Dicks Sporting Goods. Their refusal to sell guns indicates to me that earnings estimates will be falling, and so will the stock.
I bet you thought this was going to be a thread about Canyon Collective, didn't you?
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You should short sell Dicks Sporting Goods. Their refusal to sell guns indicates to me that earnings estimates will be falling, and so will the stock.
I bet you thought this was going to be a thread about Canyon Collective, didn't you?
While shorting stocks is not difficult, it does require one to jump through a few hoops, financially.
Namely you need a margin acct.
Not worth the risk to me to trade on margin.
Way too many stocks that need buying....
In case anyone cares to know:
When you short a stock--you are barrowing money from your brokerage(margin)
The hopes are the price will fall and you can purchase the stock back.
Any difference in the sell price and a lower buy back price equals profit, in the same way
when you buy a stock, THEN sell it at a higher price, your profit is this price differential.
On the other hand--if you short(sell) a stock and it continues to rise, your indebtedness to the brokerage grows.
If you have say, a margin acct. of $1000 and the short sell goes against you for $1500. the brokerage is entitled to seize
any stocks you have until the debt is satisfied,. If you have insufficient stocks, they can take cars, boats, houses, etc, until debt is satisfied.(Margin Call)
I'll stick with buying first... Then you are limited to losses that do not exceed your acct. value.
Dick’s Sporting Goods reports $150 million in lost sales after halting assault-weapons sales
https://www.foxnews.com/us/dicks-spo...-weapons-sales