Never Short in Dull Stock Market
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A dull market is a sideways market, with little advance or gain. A dull market has an inherent underlying strength, which can turn into a strong rally at a
little good news. During most dull or balanced markets the institutional investors are all waiting for a good reason to get back into the market.
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The slightest good news (or even bad news that is better than expected) can cause a strong rally to develop the rally can cause the price of the short Stock to rise sharply, resulting in margin calls and eventually a loss.
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