this post was submitted on 02 Dec 2025
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Stupid question: if you think it's a good idea but don't know when the price will go up, you just buy stock and wait. But if you think it's a bad idea and don't know when the price will go down, is there any long-term alternative to shorting that doesn't require betting on the date?
That's a good question I dont have an answer to. Maybe there are ways to short where you can just hold, but I dont know how. Maybe there's a way to borrow lots of RAM and GPUs, sell them, then buy them back when the price drops and sell them for cheap back to whom you borrowed. But I dont know who would make that deal.
You can hold a short position by repeatedly borrowing more stock -- but you run the risk of running out of money completely, because short positions have (theoretically) infinite downside risk.
Financial risks can, by themselves, never be infinite. They are by nature quite finite. Also, risks are always alluding to a downside. Otherwise they're called chances.