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Playing & Trading Strategy

You are Wrong - You are Mixing up Cash Flow & Profits. <INSIDE>.

Posted by: RotoHockeyYTD2014 on Feb 16, 17:29 in response to pennystocks2's post Strategy Question. Doesn't it make for a better profit to...

Using your Example, Shorting at 130.00 & Delisting at 100.00 would Yield a Profit of +30.00 with a Net Profit of +28.70 (30.00 - 1% Commission of -1.30 = +28.70). No Commission on Delist.

Using your Example, you would have made an +80.00 Profit less Commissions on the Orginal BUY & SELL. Now you have to Decide if you can make a Profit Shorting it and, more importantly, whether you have the Port Size to be able to do that, as that SHORT Investment would be tied up for three (3) Weeks if carried to Delist. That is where Cash Flow comes into the Equation.

Hope this Helps.

Ā 





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