Quote:
Originally posted by Wayne at Pelican Parts
....FED....
Note, this one of the stocks in my shorting portfolio.
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Just looked at some of the numbers:
http://finance.yahoo.com/q/ks?s=FED
41% of the float is short!
It could be difficult to make money if the company's financials put pressure on the stock price to drop since there will be so many shorts trying buy to cover.
Any "good" news -- like an unexpected lowering of the Fed. funds rate -- and the resulting short-squeeze could be quite painful.
The premiums on the options look pretty steep too -- so hedging would be expensive, as would be trying to play an effective short position by purchasing naked puts.
Hope you got in with your short position during the recent highs:
http://finance.yahoo.com/q/bc?s=FED and are sitting on gains already.
Insider sales look OK for a short position:
http://www.form4oracle.com/company?cik=0000810536&ticker=fed