BLACKROCK Municipal Income TRUST V.BFK.P

Primary Symbol: BFK

BlackRock Municipal Income Trust (the Fund) is a diversified closed-end management investment company. The Fund's investment objective is to provide current income exempt from federal income taxes. Under normal market conditions, the Fund invests at least 80% of its managed assets in investments the income from which is exempt from federal income tax (except that the interest may be subject to the alternative minimum tax). The Fund may invest directly in securities or synthetically through the use of derivatives. The Fund's investment policies provide that it invests at least 80% of its total assets in investment grade quality municipal obligations issued by or on behalf of states, territories and possessions of the United States and their political subdivisions, agencies or instrumentalities, each of which pays interest that, in the opinion of bond counsel to the issuer, is excludable from gross income for federal income tax purposes. Its investment adviser is BlackRock Advisors, LLC.

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BLACKROCK Municipal Income TRUST > Short Selling

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Comment by Jefe127on Sep 25, 2020 5:23pm

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Post# 31624069

RE:RE:RE:RE:RE: Short Selling

you know the answer...you're just pretending to be dumber than you are, BASHER!!

Rothchildish wrote: Earnings of... zero. Stock is worth zero. Ok gotcha!

quinlash wrote: It's the weekend, so be sure you also research the Price to Sales Ratio Indicator as well as Price to Earnings Ratio Indicator. You may want to research those two before you waste your time on shorting as you will likely want to remain (or go) long on the stock after you work the numbers.

If your math results in a number that seems too out this world to believe... you're likely doing it right but regardless, you can ask a friend who is more familiar with trading to confirm the math. That friend should not be someone from the internet.. it should be your real life accountant, family member etc.

Price to Sales Ratio Table
https://ycharts.com/companies/HEXO.TO/ps_ratio

quinlash wrote: It's interesting when a basher, who indicates they either have no position in a stock or say that it will go down starts to try and correct statements on how short selling works :)

You can actually learn a good bit about how it works by researching it online. Once you understand the mechanics of it be sure to run your numbers on how a downward movement would benefit it (assuming you short and cover at the right time) and how bad the downside can be if the shareprice goes up.

The biggest risk of all is when the shareprice makes a run like what was seen on ACB when it spiked 300%.

Have a great weekend everyone.

Q

quinlash wrote: The action of taking out a short and covering both require a BUY to occur. They Short High (the borrowed shares are bought) then they want to cover (Re-BUY) at a lower price and pocket the difference.

There is somewhere around 15 to 18 million in the short position and the cover action requires the RE-BUY of shares for the shortsellers to cover. We cannot see where 15 million +/- shares will take the shareprice but its likely well over $1.00, may be higher than $1.10 / $1.20.

The $2.00 mark will be easier to see as the price goes up and the level 2 reports disclose more details.

IMHO there is no need to set any sell orders below these levels as they shorts are pinned in their position and it's just a matter of time for them to be forced to buy those shares regardless.

The daytraders are missing that point IMHO

Q

kendon wrote: Investing in stocks in the usual way is risky enough. Short selling should be left to very experienced investors, with large portfolios that can easily absorb sudden and unexpected losses.