pineapple; just my own thinking without any real knowledge of costing. or if indeed
its how its done.
if someone, or maybe a company, or maybe a company that is buying for someone else. wants to buy a lot, i suppose a million plus or maybe 3 or 4 million.
would it not pay to short to get stock you believe may may be a shortage of, in the event of a good result. if you put in a buy order would not the price rise to much, and cut your profits. and what with everyone getting on the bandwagon,
thereby makeing it difficult to get the shares.
so they take out some loan stock, shorting on a small amount, just enough to keep the price down, or keep a lid on things. they would have to keep an eye on things so as not to overdo it. but it can be done.
so as to get them on the cheap so to speak, they buy at the same time, small
amounts, 1,2,3,5, 10, 20,000 at a time done over a long time. so as not to spook the price, and the pi's.
i know it seems stupid but the shorting is done with loan stock, so does it not keep the cost down. you have to pay for the loan at whatever price. say 10%
you have the cost of the shorting, but if done right, at say 10% again. taking it all in, would that not mean that you would have all your shares, then sell at say almost 100% profit, on your bought shares. deducting the costs 20% at the 200p price. and selling at the 390p price. a nice profit to be had if thats how its done. and assuming that the price rises. and of course assuming thats how its done. ken