Just curious how shorting a stock or buying options works with actual numbers like costs and other variables.
I would like to see how it goes right or wrong.
For a baseline. We will use $100,000 to invest into TSLA as the most shorted stock and will set a price of $400 for an easy value to start from which is 250 shares.
What happens if it goes to 300, 200, 500, or 800 or any other values? Does anyone else lose or gain money in the deal?
I assume you can't short more shares than 250 with that amount of cash, but could be incorrect. Same goes with options
I see lots of discussion on shorting but have never seen actual costs and what is involved to do it. I am probably nowhere near a level I could consider shorting stocks or buying options since I just started a Roth, but would like to know more about how it works with actual numbers. I guess I could do it with smaller stocks, but I am more interested in growth than gambling.
Feel free to post any links as needed also.
Submitted June 23, 2017 at 05:54PM by rideincircles http://ift.tt/2rLGPwG
