HOLLYWOOD STOCK EXCHANGE
THE ENTERTAINMENT MARKET
THE ENTERTAINMENT MARKET
I am not sure if the question was really answered, so for all of the confused new players, not to mention winstonman78...
when you short you gain if the price goes down. If you have 100K shares and the price goes down 5 points, you gain 500K.
If a Security delists and you held it short, you gain the difference between the price you shorted at and the final price. If the final price is higher, you lose that difference.
Example...you short at 40. If it delists at 37, you gained 3 per share, so you would actually wind up with 43 per share in your account. (The 40 you paid plus the gain of 3) If it delists at 44, you lost 4 per share and you are credited with 36 per.
In other words, shorting is just the opposite of holding long. So if you have a short position and the price has gone down, the value is actually MORE than the total current price times the number of shares. But it is a VERY important part of HSX, because, just like in the real world, sometimes prices go down. Just ask the folks at Enron. or GM. And you can make money by investing in that direction.
I hope this makes some sense.
I'm sure there is a thread on this somewhere.... Apr 04, 06:35
Reason why i'm asking is cause i understand that with a Call or Put order you only get the cashout amount on those. {nm} Apr 04, 06:40
You can def tell the N00Bs in this game haha {nm} Apr 04, 06:42
Play nice - you were one also {nm} Apr 07, 05:53
what you receive for a shorted stock completely depends on where you shorted it Apr 04, 06:44
OK i got it. unlike a call or put order the cashout is $1 per 1 million total. Apr 04, 06:51
yes, if its further below its delist than commission, then you would make more $$$ {nm} Apr 04, 08:30
by covering before delist (damn enter key) {nm} Apr 04, 08:30
I am not sure if the question was really answered, so for all of the confused new players, not to mention winstonman78... Apr 04, 23:25
It does thank you very much :) {nm} Apr 05, 06:38
