Short Selling Readiness for the next crash

Discussion in 'Stocks' started by jueco2005, Aug 24, 2017.

  1. Hi All,


    I am not too familiar with short selling but given the insanely overvalued stock market it seems a pretty good idea to short the market in a conservative way.


    Currently I am trading using robin hood to avoid the trading fees but they don’t offer short selling as of now.


    If any of you have advise it would be more than welcoming.


    Thank you.
     
  2. atrp2biz

    atrp2biz

    You could use inverse ETFs such as SH or PSQ.
     
  3. Shorting the "insanely overvalued" assets is a tricky business. You could make an easy argument that bitcoin was insanely overvalued at $400. Now it's 10 times more insane. As it's well known, the market can stay irrational a lot longer than you can stay solvent.

    With that said, you have a number of options:
    -- sell index futures
    -- buy index puts
    -- buy leveraged bear ETFs

    If you want to do it in a conservative way, allocate a small percentage of your account into these instruments.
     
    shatteredx likes this.
  4. Thanks will research these
     
  5. qxr1011

    qxr1011

    valuation is for investors, but they do not short

    the shorts, as the longs, should only be done per trading method

    my advise: if you do not have the trading method - do not trade live
     
    jueco2005 likes this.