Can a trader succeed if he doesn't Short sell

[cash_money]

Due to personal beliefs, I am not a fan of the notion of short selling, due to my own personal and moral reasons.

Therefore can i still apply good risk management techniques such as hedging etc, but without having to resort to any form of short-selling.

In other words, am i putting my self at a disadvantage (as a consequence of abandoning all forms of short selling), to the point where I am simply just in the wrong game. Therefore, as a retail trader, who chooses not to engage in short selling, should i just pack my bags and go home.

I appreciate everyone opinions on this matter, and thanks in advance.

 

[lawrence-lugar]

Due to personal beliefs, I am not a fan of the notion of short selling, due to my own personal and moral reasons.

You have 'personal and moral reasons'...
...and your username is: cash_money

Ha,that's a laugh

 

[counter_violent]

Due to personal beliefs, I am not a fan of the notion of short selling, due to my own personal and moral reasons.

Therefore can i still apply good risk management techniques such as hedging etc, but without having to resort to any form of short-selling.

In other words, am i putting my self at a disadvantage (as a consequence of abandoning all forms of short selling), to the point where I am simply just in the wrong game. Therefore, as a retail trader, who chooses not to engage in short selling, should i just pack my bags and go home.

I appreciate everyone opinions on this matter, and thanks in advance.

In the forex world you would be a buyer and a seller eg long GBP USD.

In equities you may buy a low price and sell out at a higher price and make a profit. But what happens to he who you sold to, if the market then turns and he is carrying a loss.

I think you need to forget all about morals in trading !!!!

 

[0007]

Due to personal beliefs, I am not a fan of the notion of short selling, due to my own personal and moral reasons.

Therefore can i still apply good risk management techniques such as hedging etc, but without having to resort to any form of short-selling.

In other words, am i putting my self at a disadvantage (as a consequence of abandoning all forms of short selling), to the point where I am simply just in the wrong game. Therefore, as a retail trader, who chooses not to engage in short selling, should i just pack my bags and go home.

I appreciate everyone opinions on this matter, and thanks in advance.

My understanding is that most non-professional traders in stocks/shares usually trade long and don't get round to going short. I see no reason at all why going long only should not be entirely profitable by any half-decent trader. I'm reasonably unusual in that I normally only short trade shares for various technical reasons which suit me. My take is that I don't have any moral input on this – I just trade to make money the best way I can.

On a moral level I don't really see any difference between short & long – that's the market though not all people see it that way. I can understand that some people will have misgivings about trading short – and that's a personal thing; even officialdom disproves of it in some places. In my opinion, if a person has moral and ethical misgivings about capitalism/trading/making money then perhaps the stock market is not for them. My belief is that anything that oils the wheels and cogs of business is overall beneficial; you will never eradicate the undesirable bits – but that's life isn't it?

In a nutshell: there's no reason at all why you shouldn't be profitable going only long. Just stay out of ultra bear markets!

 

[cash_money]

My understanding is that most non-professional traders in stocks/shares usually trade long and don't get round to going short. I see no reason at all why going long only should not be entirely profitable by any half-decent trader. I'm reasonably unusual in that I normally only short trade shares for various technical reasons which suit me. My take is that I don't have any moral input on this – I just trade to make money the best way I can.

On a moral level I don't really see any difference between short & long – that's the market though not all people see it that way. I can understand that some people will have misgivings about trading short – and that's a personal thing; even officialdom disproves of it in some places. In my opinion, if a person has moral and ethical misgivings about capitalism/trading/making money then perhaps the stock market is not for them. My belief is that anything that oils the wheels and cogs of business is overall beneficial; you will never eradicate the undesirable bits – but that's life isn't it?

In a nutshell: there's no reason at all why you shouldn't be profitable going only long. Just stay out of ultra bear markets!

I am a new trader so please forgive me if the following question sounds stupid:

Is short-selling necessary/ the best approach for hedging(mitigating/reducing risk)?

 

[cash_money]

You have 'personal and moral reasons'...
...and your username is: cash_money

Ha,that's a laugh

So why then did the SEC(once upon a time) ban Short-selling?

If it was 100% a legitimate thing to do why did they then decide to ban short selling?

 

[lawrence-lugar]

So why then did the SEC(once upon a time) ban Short-selling?

If it was 100% a legitimate thing to do why did they then decide to ban short selling?

I don't know, you're asking the wrong guy. -- I trade Options on US Macro indexes.
that's all i know and do.
i'm not a stock guy, or FX guy, or futures guy, etc

 

[cash_money]

I don't know, you're asking the wrong guy. -- I trade Options on Macro indexes.
that's all i know and do.
i'm not a stock guy, or FX guy, or futures guy, etc

Ok bro no worries

 

[counter_violent]

So why then did the SEC(once upon a time) ban Short-selling?

If it was 100% a legitimate thing to do why did they then decide to ban short selling?

Govts around the world from time to time ban short selling. It's their way of interfering with or rigging the markets to suit their agenda.

One could argue that when they do this, they are operating without morals, ie: against free market principle.

 

[NVP]

Due to personal beliefs, I am not a fan of the notion of short selling, due to my own personal and moral reasons.

Therefore can i still apply good risk management techniques such as hedging etc, but without having to resort to any form of short-selling.

In other words, am i putting my self at a disadvantage (as a consequence of abandoning all forms of short selling), to the point where I am simply just in the wrong game. Therefore, as a retail trader, who chooses not to engage in short selling, should i just pack my bags and go home.

I appreciate everyone opinions on this matter, and thanks in advance.

hey dude - trade currencies ...........you are always buying one currency !

N

 

[NVP]

So why then did the SEC(once upon a time) ban Short-selling?

If it was 100% a legitimate thing to do why did they then decide to ban short selling?

because they are short sighted idiots ...............markets cannot be banned or controlled in such ways ..............ever

 

[tokyojoe]

If we truly knew the nature of this business we would not trade at all if we have deep rooted morals.

It is a vacuous industry, a machine, it has no morals whatsoever.

Enjoy the ride up...... & down, forget morals, anybody who does battle trying to dig out points each day has morals firmly lodged at the back of their mind if they're honest.

 

[NVP]

If you truly knew the nature of this business you would not trade at all if you have deep rooted morals.

It is a vacuous industry, a machine, it has no morals whatsoever.

Enjoy the ride up...... & down, forget morals, anybody who does battle trying to dig out points each day has morals firmly lodged at the back of their mind if they're honest.

so the locust on my roof are not going away ?

N

 

[tokyojoe]

so the locust on my roof are not going away ?

N

its the locusts in my machine I've been keen to keep an eye on N

They have low levels of inactivity followed by a swarm of craziness !

hope all good mate.

 

[new_trader]

Due to personal beliefs, I am not a fan of the notion of short selling, due to my own personal and moral reasons.

Therefore can i still apply good risk management techniques such as hedging etc, but without having to resort to any form of short-selling.

In other words, am i putting my self at a disadvantage (as a consequence of abandoning all forms of short selling), to the point where I am simply just in the wrong game. Therefore, as a retail trader, who chooses not to engage in short selling, should i just pack my bags and go home.

I appreciate everyone opinions on this matter, and thanks in advance.

There is nothing immoral or dishonest about short selling. The most important businesses of the world are on the short side in their initial stages. Many sell a product that they haven’t even manufactured but have made a contract to deliver to the buyer at a later date. Short selling provides stability in the market otherwise you would really get runaway bull markets. Also, the short seller is a potential buyer who must cover and by doing so will provide an element of support in a declining market.

 

[drtro]

 

[fayalac]

Yes, you out carry many dissadvantages with your concept, but i guess it is still highly respectable for whatever your reasons can be, it seems to me your chances could multiply if you choose to trade stocks instead forex and commodities, but its your own money, i think you can still be profitable but you wll have to double your effort, you will have to chase bullish trends to perform only long trades...
As a personal recomendation, in this field, the name of the game is money....

 

[MajorMagnuM]

There is nothing immoral or dishonest about short selling. The most important businesses of the world are on the short side in their initial stages. Many sell a product that they haven’t even manufactured but have made a contract to deliver to the buyer at a later date. Short selling provides stability in the market otherwise you would really get runaway bull markets. Also, the short seller is a potential buyer who must cover and by doing so will provide an element of support in a declining market.

i THOUGHT TIMESTAMP 00:30 ISH ONWARD WAS INTERESTING
https://www.youtube.com/watch?v=iQN0LXRUoPY&index=5&list=PLE70B75DB5884F5EE

 

[peakoil]

A healthy market requires short-selling. That is most undeniably true. If short-selling is disallowed in any market, for arbitrary reasons, then you can be guaranteed that there is something seriously awry with that particular market. People who don't fully understand how markets operate, are the first to decry the supposed 'immorality' (etc.) of short-selling, when the truth is that a trade is a trade is a trade - no matter whether you buy first, or sell first. It's still intrinsically the same transaction.

To say you've a 'problem' with short-selling to another trader is almost like saying you've "a problem with using reverse gear in any car, so you always drive forwards!" Because it would, in all honesty, make about as much sense to him, to say that too!

Dear OP, this respondent would definitely argue that you need to get over your issues with short selling, asap - unless you are happy to continue putting yourself at a definite competitive disadvantage with the marketplace as a whole.

It's not as if you're in the best position, as you stand, anyway, as a retail trader, so this poster would say you need to utilise every possible advantage at your potential disposal. Lastly, and needless to say, this isn't to be taken as advice to go short on any particular market, at any particular time. The rest is up to you! HTH

 

[VielGeld]

There is literally nothing wrong with short-selling. This stance is derived from misinformation and superstition. If anything, the opposite it true; short-selling is beneficial to markets.

Go and short-sell to your heart's content.