- ago
Hello,

when checking out a possible short strategy, I wanted to set the limit price for a "Short at Limit" entry to a value that practically everything gets shorted (no matter of the limit price).

So, I set the price to 90% below Close, assuming that with that setting the stock would not be shorted only in case the price gets down more than 90% compared to the low of the previous close - an event to occur practically never.

But strangely with that setting no stock gets shorted... Do I misunderstand something with these settings?

(I also tried it with "above Close", but also nothing gets shorted with that setting.)

Thanks for your help!
Werner
0
697
Solved
2 Replies

Reply

Bookmark

Sort
Cone8
 ( 7.89% )
- ago
#1
Your understanding is correct, but maybe the problem elsewhere, Position Sizing?
0
Cone8
 ( 7.89% )
- ago
#2
Oh sure, it's probably Position Sizing. The basis price is the limit price you specified. So, 90% lower than a $100 stock is $10. Essentially, you'll be buying 10x the shares for the same amount of cash.

This is probably creating NSF Positions. Check the NSF Count in the Metrics Report.
0
Best Answer

Reply

Bookmark

Sort