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Quote from riskfreetrading:

Old trick. :D

You are using realized gains to purchase more of the underlying security. Right?

Edit: I have 3 locals at my house right now plus me. With over 75 years experience in the buz, you max gain can only be 100%.

Don't forget you are cost averaging down by adding to the position which reflects your PnL.
 
Unlimited! It's call average down. You add position as it goes down.

Read Jesse Livermore's book.

Quote from riskfreetrading:

Sorry about that catchy title but I am serious here. Could I ask you how much do you think you can make as a maximum percentage return on a short position? You may have read answers to this question in books which say 100%. But is it really true?

So what is the maximum % return you can make shorting equities? And why?
 
Quote from nyxtrader:

You are using realized gains to purchase more of the underlying security. Right?

Edit: I have 3 locals at my house right now plus me. With over 75 years experience in the buz, you max gain can only be 100%.

Don't forget you are cost averaging down by adding to the position which reflects your PnL.

When they are gone, PM me. Do not embarass guests.
 
Quote from eveningtrader:

Unlimited! It's call average down. You add position as it goes down.

Read Jesse Livermore's book.

You have proposed the highest return so far in this thread. Now how do you do that on a stock going from 100 to 1 for instance, and from S to 1 in general?

Could you also be specific about unlimited. Is it as high as you want it to be, or infinite?
 
very well done! you are the king of the throne... blah, blah

Quote from shortie:

how about simplifying the question?

what is the max gain on a single short equity position given 2x margin, 0% commish, 0% interest and 0 dividend? alternative trading vehicles like futures, options, inverse etfs, correlated stocks are not allowed.

if the answer to the above question is not +200% than I would not mind knowing the correct answer. :cool:
 
It can never be 'unlimited' just for the fact, there is a limit on shares available, lol.

Before I go any further, lets make sure YOU understand some basic math.

I have 15k after 2 years of continuous compound interest of 4.9%. How much did I start with?
 
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