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I have never heard of a cue for shorting stocks. The real problem might
be borrowing the stock to short at that time. Here is how the rule works
for shorting stocks. You can only short on an up tick. So let's say you
get an up tick so you place an order to sell short 100 shares. But let's
say at the same time another trader also shorts 100 shares of the same
stock. Now to the best of my knowledge the rule will give only the first
trade to the market after the uptick the short sale if the next trade
after the short sale is a down tick. The NYSE will hold the second
traders short sale until another uptick occurs. So to some degree there
can be a back log of short sale orders on the NYSE waiting to be filled.
NASDAQ is different because the uptick rule is on the bid and not the
last trade like the NYSE. On the NASDAQ if you short on and uptick you
get to short as long as there is an uptick. If not on an uptick while
you place your order your order will not even be held in the system.
Harley
Stephen Gibson wrote:
> Over the last few days, the market has given us many opportunities
> for shorting stocks. Sometimes, it isn't easy.
>
> For example: today I placed an order to short Gateway 2000 (GTW)
> at the market. After giving a market order to my broker (REGAL),
> I waited for a fill. For those of you who are new to trading stocks,
> the rules say the stock must have an UP tick before an order to short
> can be filled. Gateway 2000 is a fairly liquid stock and trades more
> than a million shares a day. I watched dozens of UP ticks go by over
> several minutes. After 10 minutes, I called and was told by my broker
> that I had not been filled yet. After still another 10 minutes
> and more up ticks, I called and was told I still was not filled. So I
> cancelled the order. I was told that shorts are placed in a 'cue' and
> that there was a chance I might never be filled...ever! What?
>
> Question: Am I being told the truth?
>
> It's very hard to complain about slippage without a fill. 8-)
> Steve...
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