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Topic: Short positions


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In the News (Thu 16 Feb 12)

  
  Short (finance) - Wikipedia, the free encyclopedia
In finance, a short position in a security, such as a stock or a Bond, or equivalently to be short a security, means the holder of the position has sold a security that he does not own, with the intention to buy it back at a later time at a lower price.
Similarly, a short position in a futures contract, or to be short a futures contract, means the holder of the position has the obligation to sell the underlying asset at a later date.
It is commonly understood that the term "short" is used because the short seller is in a deficit position with his broker.
en.wikipedia.org /wiki/Short_(finance)   (624 words)

  
 Short selling - Wikipedia, the free encyclopedia
It is commonly understood that "short" is used because the short seller is in a deficit position with his brokerage house.
The short seller takes a fundamentally negative, or "bearish" stance, anticipating that the price of the shorted stock will fall (not rise as in long buying), and it will be possible to buy at a lower price whatever was sold, thereby making a profit ("selling high and buying low," to reverse the adage).
Short interest is defined as the total number of shares that have been sold short, but not yet covered.
en.wikipedia.org /wiki/Short_selling   (3034 words)

  
 Short Sale
In the English language, the word "short" is sometimes used to indicate an inadequacy, as in "short of cash" or "short of time." In finance, this usage is applied to situations where a party sells securities he does not possess.
Short selling is one of the primary reasons for securities lending, without which, short selling would be impossible.
If the long and short positions are for equal numbers of shares, the long-short position exposes the speculator to the spread between the price of the long stock and that of the short stock.
www.riskglossary.com /articles/short_sale.htm   (1188 words)

  
 The Short Seller’s Guide
Short selling is a very useful tool for exploiting bear markets but also can be used as a hedging tool to minimize risk against a long position in a bull market.
The short position is logged as a debt, offsetting the increase in cash so that the total account value remains at $10,000.
Short positions are debts and are subtracted from the account’s total equity.
www.freebuck.com /articles/mini/00short_selling.htm   (3009 words)

  
 Short Interest
Short selling is the selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller.
Firms are required to report their short positions as of settlement on the 15th of each month.
Short Interest - The total number of shares of a security that have been sold short by customers and securities firms that have not been repurchased to settle outstanding short positions in the market; the net short positions outstanding in the stock as of the settlement date.
quotes.nasdaq.com /asp/MasterDataEntry.asp?page=Short+Interest   (355 words)

  
 TheStreet.com: Saturday Screen: Funds With Big Short Positions
The opposite of being short a stock is to be long, in which you buy shares expecting their value to rise.
Shorting can be used as a hedging or defensive tactic, or it can be used by aggressive profit-seekers.
Shorting might be taboo in certain circles, but for some funds, it's been a real boost.
www.thestreet.com /_aol/funds/funds/948405.html   (1061 words)

  
 Comments of Alden James on S7-23-03
In the case of regular shorting, the DTCC does not even add up all members’ short positions to determine that there are actually shares to borrow, i.e., members are borrowing on already once borrowed shares and in some cases short positions exceed shares available to borrow.
However, to hedge their naked short positions, the broker dealers, market makers and exchanges permit hedge funds, institutional investors, and foreign investors to add through regular shorting procedures to the members’ naked short positions with a 50% margin further protecting the entire pool of naked short positions.
It is an anomaly of short selling, though, that when the brokerage house repurchases the shares (i.e., obtains their return from the short-seller),it does not do so at the market price, but rather does so at the contractual price agreed with the short seller (i.e., the market price at the time the securities were loaned).
www.sec.gov /rules/proposed/s72303/ajames121103.htm   (9087 words)

  
 Short positions set record, but data may be week's highlight - Pittsburgh Tribune-Review
Later when a short seller closes out the transaction by buying the stock, the shares are returned to the person who loaned the stock to the short seller.
The most recent release of short interest data last week was particularly notable since it showed that on an adjusted basis, New York Stock Exchange short interest as a percentage of total shares hit at an all-time high of 2.35 percent.
A high short interest position does not necessarily mean the stock is headed lower nor does it assure that these shares will be covered and create a significant jump in the price of the stock.
www.pittsburghlive.com /x/tribune-review/business/s_317400.html   (720 words)

  
 Buildup in short positions? - Gold & Silver Forum
The seven large TOCOM gold shorts increased their net short position by 2,329 contracts on May 23 to a total of 198,151 contracts or 6,370,693 troy ounces.
One would now have expected these dealers to be covering significant portions of their shorts with abandon, as has been the pattern in the past after a successful short term gold price breakdown, however, this time they are not covering as they have done before and on even smaller price breaks.
The double whammy in the form of renewed build up by of short positions in gold and silver is further contributing to the decline.
goldismoney.info /forums/showthread.php?p=257525#post257525   (2489 words)

  
 Jacobs Levy - Portfolio Optimization Including Short Positions
As we researched the idea of using short positions in conjunction with long positions in a portfolio framework, we soon realized the real benefits of this approach emerge only if one employs a single "integrated optimization" that considers long positions and short positions simultaneously.
Rather, it is a one-portfolio strategy in which the long and short positions are determined jointly within an optimization that takes into account the expected returns of the individual securities, the standard deviation of those returns, and the correlations between them, as well as the investor's tolerance for risk.
The benefits of combining short positions with long positions in a portfolio context, however, depend critically on the way the portfolio is constructed.
www.jacobslevy.com /po.htm   (1112 words)

  
 The Nasdaq Stock Market Announces Open Short-Interest Positions in NASDAQ Stocks for October 2005   (Site not responding. Last check: 2007-10-24)
Short interest in 581 securities on The NASDAQ SmallCap Market(SM) totaled 163,030,293 shares for October, compared with 161,236,079 shares in 584 securities for the month of September.
The open short-interest positions reported for each NASDAQ security reflect the total number of shares sold short by all broker/dealers regardless of their exchange affiliations.
A short sale is generally understood to mean the sale of a security that the seller does not own or any sale that is consummated by the delivery of a security borrowed by or for the account of the seller.
www.prnewswire.com /cgi-bin/stories.pl?ACCT=104&STORY=/www/story/10-25-2005/0004194737&EDATE=   (312 words)

  
 Path to Investing — Trading Futures: Futures Contracts — Long Positions and Short Positions   (Site not responding. Last check: 2007-10-24)
Long positions are offset by short positions, and short positions by long ones.
For example, if you have a long position on 5,000 bushels of soybeans deliverable in January, you need to short — or enter a contract to sell — 5,000 bushels of soybeans deliverable in January or expect to have the 5,000 bushels delivered to your doorstep.
When you give an order to offset an existing futures position, the sale or purchase is handled by traders on the exchange and then cleared through the futures clearinghouse, which becomes the buyer for every futures contract seller and the seller to every futures contract buyer.
www.pathtoinvesting.org /categories/choosinginvestments/futures/futures_013.htm   (363 words)

  
 About Hedge Funds - Market Neutral Long/Short Equity Trading by Dion Friedland, Chairman, Magnum Funds
A stock with a beta of 1 moves historically in sync with the market, while a stock with a higher beta tends to be more volatile than the market and a stock with a lower beta can be expected to rise and fall more slowly than the market.
In short, through sophisticated quantitative systems using technology such as neural networks, fund managers seek to optimize their stock picks and produce a higher Sharpe Ratio, or risk-adjusted rate of return.
While quantitative analysis is the most common method for identifying optimal long and short positions, some hedge fund managers rely on fundamental analysis, systematically analyzing industries and companies to find those on the brink of positive, or negative, change.
www.magnum.com /hedgefunds/marketneutral.asp   (1501 words)

  
 CyberTrader Important Notices
Non-volatile concentrated positions cause the entire portfolio to be held at 40% maintenance instead of Minimum Maintenance Percentage of 25% for long positions or the higher of 30 % or $5.00 per share for short positions.
This affects you in that the positions which create the Volatile Concentration are held at the higher HMRP of 50% (60% to 75% for low volume volatile positions) with the rest of the portfolio (non-concentrated positions) held at 25% for long positions or the higher of 30% or $5.00 per share for short positions.
You cannot liquidate positions to cover this type of call.You are given 5 days to meet this call, however please be aware that the account will be set to a permanent liquidate only status during this time or until the call is met.
www.cybertrader.com /support/Margin_and_Call_Notice.htm   (3000 words)

  
 Large Gold Share Short Positions
The short position in a sense is just a way to intimidate people into manifesting a dip, as opposed to simply waiting for one by voluntary means (which will not happen naturally in a bull market).
The sheer number of short positions on some stocks seems to imply that if there is a mass closing of their positions the price of the shares must rise enormously.
The short position on Durban Deep is nine million shares or 20% of the stocks float.
www.gold-eagle.com /editorials_03/sage020303.html   (7251 words)

  
 Path to Investing —Futures: Trading Positions — Long Positions and Short Positions   (Site not responding. Last check: 2007-10-24)
There are two sides to every futures contract — an investor who has a long position and an investor with a short position.
And investors in the futures market virtually always take both long and short positions, as they buy or sell contracts to offset existing positions.
Selling short is a higher risk strategy that only a percentage of stock investors employ, hoping to make money on stocks that are losing value.
www.pathtoinvesting.org /categories/choosinginvestments/futures/futures_033.htm   (231 words)

  
 Stock Short Interest - Short Squeeze.com
The Mission of Short Squeeze™ is to provide stock market Short Interest data and services to the investment and stock trading community, so our members will become better informed of short interest in the stock market and gain from the advantages that can be achieved from this valuable market information.
Any encouraging news from Martha Stewart Living could lead to a wave of short sellers trying to buy stock and limit their losses, pushing the price higher.
The possibility of a short squeeze is one reason some analysts look at a high amount of short interest as a bullish indicator.
www.shortsqueeze.com   (276 words)

  
 Financial Sense Forum - Gold correction, short positions   (Site not responding. Last check: 2007-10-24)
In addition to speculative shorts, don't forget that a lot of hedge funds and other alternative stragies may involve longing one thing and shorting something else.
A good example of what I mean in terms of a short squeeze is recent relative strength in GG which was a bit of a laggard in December (weighted down with shorts?)  Same for the metal itself.
The shorts are TRAPPED and there is the Battle of the Titans going on between $555 and $560.
www.financialsense.com /cgi-bin/yabb2/YaBB.pl?num=1136587501   (1577 words)

  
 The Prairie Star: Columnists
In December I forecasted funds to cover short positions as they always cover positions ahead of the end of the month, the quarter and the year, and should continue this pattern.
Look for traders to rebuild a large short position ahead of the January USDA report.
For short hedgers, the current proximity to record highs provides an opportunity to place hedges at a very high price level, with strong risk to reward tradeoffs.
www.theprairiestar.com /articles/2006/01/12/ag_news/columnists/brian.txt   (1116 words)

  
 Short Squeeze   (Site not responding. Last check: 2007-10-24)
Short squeezes occur more often in smaller cap stocks with small floats.
For example, say a stock rises 15% in one day, those with short positions may be forced to liquidate and cover their position by purchasing the stock.
If enough short sellers buy back the stock, the price is pushed even higher.
www.investopedia.com /terms/s/shortsqueeze.asp   (223 words)

  
 SHORT-TERM POSITIONS AVAILABLE IN INDONESIA   (Site not responding. Last check: 2007-10-24)
More than 20 short term technical positions will be filled over the next three years, beginning in the summer of 1994.
Most positions will be one to four months duration (avaerage two months).
Experience in Indonesia and knowledge of Bahasa Indonesia are definite assets for these positions.
www.metla.fi /archive/forest/1994/04/msg00045.html   (91 words)

  
 Short Positions   (Site not responding. Last check: 2007-10-24)
Stocks listed have the most extreme combination of heavy short interest exposure, low relative liquidity, and are trading at pivotal price levels for immediate trading opportunities.
The stocks listed come from a proprietary list of the most heavily shorted stocks in the market, and are trading at or near new 52-week highs!
This updated collection of stocks have the market's most extreme combination of heavy short positions, low relative liquidity, and extremely high levels of price performance.
www.shortsqueeze.com /Short-Positions.php   (368 words)

  
 Short Selling
The selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller.
Short sellers assume that they will be able to buy the stock at a lower amount than the price at which they sold short.
Explain what a short seller is on the hook for in regards to dividends, rights, etc.
www.investopedia.com /terms/s/shortselling.asp   (279 words)

  
 Gold Cot Short Positions Resource, Secrets And Data   (Site not responding. Last check: 2007-10-24)
Why this seems strange to me is that gold has hit record large dealer short positions in.
Over time we can chart the net long and net short positions of each cot group and glean some valuable insights on gold.
On the cot chart we can see the long positions held by the oxen and the short positions held.
www.cotsandmore.info /gold-cot-short-positions.html   (1033 words)

  
 Will outstanding high short positions lead to short-term rally? | Dr. Marc Faber
Each time short positions soar on the NASDAQ, such as was the case in 1994, 1998, 2003, and possibly now, a NASDAQ rally followed.
Let us assume that hedge funds leverage their positions just two-to-one, which would be low leverage by most hedge fund standards.
So, with the leverage in play of the hedge fund industry, and the hedge funds' strategy of holding at all times both long and short positions, it is possible that the high short positions will this time not necessarily trigger a strong rally.
www.ameinfo.com /43409.html   (515 words)

  
 NDAQ The NASDAQ Stock Market Announces Open Short-Interest Positions in NASDAQ Stocks for April 2005 - View Message
The April short interest represents 3.23 days' average daily NASDAQ National Market share volume for the reporting period, compared with 2.96 days in March.
Short interest in 611 securities on The NASDAQ SmallCap Market(SM) totaled 156,387,484 shares for April, compared with 166,719,595 shares in 602 securities for the month of March.
The figures this month include all short- interest positions reported March 10, 2005 through April 12, 2005 and settled as of April 15, 2005.
www.equitygroups.com /otcbb/ndaq/messages/4014.html   (285 words)

  
 EconPapers: VALUE-AT-RISK FOR LONG AND SHORT TRADING POSITIONS   (Site not responding. Last check: 2007-10-24)
Thus, VaR for traders having both long {and short} positions is not adequately modelled using usual Normal or Student distributions.
This allows for an adequate modelling of large returns defined on long and short trading positions.
We also compute the expected short-fall and the average multiple of tail event to risk measure for the new model.
econpapers.repec.org /paper/scescecf1/94.htm   (340 words)

  
 saxobank.com - Forex - Swap Rates
Spot Forex positions held at the end of the business day before their Value Date will be rolled over to a new Value Date on a Tom/Next basis.
As part of the rollover, positions are subject to a swap charge or credit based on the LIBOR/LIBID interest rates of the two traded currencies with an added a markup of +/- 0.25% (for private accounts).
The new value date and swap points applied at rollover for both Long and Short positions are displayed.
www.saxobank.com /?id=1572&Lan=FR&Au=2   (2455 words)

  
 Mover Mike Major Players Caught with Short Positions
Mike is a retired stock broker, and now supports his wife's furniture business.
Grandich agreed and added one more factor — major players caught with short positions.
GATA has said the short position may be equal to 12,000 to 16,000 tonnes of gold.
www.movermike.com /posts/1132628934.shtml   (189 words)

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