Even if you don't want to short, I think this is still informative for long positions as a suggestion/precaution on when to sell and exit the position.
I have really been enjoying this channel, I just found it a couple days ago and have already watched all the videos - they are really well done. And it is obvious you are a trader as well so if you ever wanted to make more instructional videos (I saw GAP trading vid) I would certainly watch those as well. thank you
Hi Andrew, Thank you for your kind feedback, its glad to know its adding some value out there... Yes i do trade but only the weekly charts combined with some fundamentals, so a hybrid type. To help my discipline of sitting still i decided to start youtube. I'll be sure to add some more specific trading methods in the future. I'm currently working on the Turtle Trader book. Speak again, and thank you.
You are at a bit of a disadvantage short selling though. As you owe the shares you have to pay interest already adding to your cost basis. Also, like you said over the long term stocks have a bias of going up. If you're long and wrong. You can wait it out. If you're short and wrong you need to cut your losses quick or you it could ruin you.
Short selling is not for everyone. But during a bear market, that is the only way to make money. Money is supposed to flow to make more money. Money sits money looses. Also, stocks going down is muchhh faster than going up. If you know what you are doing, shorting stocks give you more profits.
Many thanks Gareth. Superb presentation as always. Some interesting points. The book has picked out two of my key faults as a short seller. Perhaps the book could have looked more closely at the psychology of short selling and why only a few of us do it. Also, it could have highlighted more of common errors that beginner's make.
Thanks William - I agree, It falls short of psychology etc - of 200 pages 150 are charts, but I guess as the saying goes ' a picture paints a thousand words'
Just rewatched this. It occurs to me that many of your subscribers may think going short is too complicated. One easy way of going short is through a spread betting account. It's as simple as going long. All you have to do is 'sell' instead of 'buy'. Again, many thanks for your channel - it has totally transformed my trading (for the better).
I mean, yeah he has the phone back but what about all his files, messages and photos??? jokes aside, I definitely plan on reading this book. But first I need more consistency on the long side
You show charts that say "Weekly Chart" but state the moving averages are daily. Is the Death Cross based on daily MA or Weekly? Really like your vids, btw.
This content is rich with innovative thoughts. I found a book with like themes that challenged my thinking. "Mastering Money Mindfulness" by Benjamin Hawk
I can’t help think a downturn is coming soon. There is always an eventual downturn. So I’m going to study up on shorting. When the bear appears I want to make money on defense too. Great video again!
Bought the book, as to learn how to short sell, and to be honest I am disappointed. Not one word about the most important aspect of the short selling- where to place the stop loss. He didn't mention it once. He left out the most important aspect of short selling.....not a good book.
Can you sell stocks short dirently in the UK and the US markets. The indian markets only allow you to go short on the stock futures and options. Shorting stocks is only allowed intra-day
@@FinancialWisdom Thanks for your quick response. I understand how shorting futures works, but i don't quite understand shorting stocks. With a futures contract, you can short it up to a few months. Similarly, is there a limit to how long you can hold your short position on a stock and do you need to pay an interest to your broker for borrowing the stocks? and say you are shorting a micro cap stock, what happens if you are unable to cover your short/ find a buyer to cover the entire position?
@@mrithun15 No there is no limit on the length of time in regard to a short position, if the stock is dividend paying, you will need to pay the dividend to the broker.
