Question:

What is the formula and or what varialbles go into tolerable short sales volumes for a given equity?

by  |  earlier

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A Nobody says, "Every security is different, they differ by the number of shares outstanding, the number of shares owned by the public, and institutions, they trade in different makets, and trade a different prices.

All of these factors enter into or must be considered in the short sale process. So there is not "typical", "average" or "approximation" that can be given."

Is there someplace I could study what goes into short sales toleration by a given equity? I would like to be more specific, to understand, "the industry" as it were!

Thankyou....

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1 ANSWERS


  1. why even care about short interest?  sure it can distort prices a bit in the short-term, but overall, it's irrelevant.

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