Series 65: 7.2.1.2.2.2 The Price Increases

7.2.1.2.2.2  The Price Increases

Now let’s examine what happens when there is an increase in the price of a stock that is held in a short market account. Remember that an increase in the price of a security is not good for a short seller.

Unlike for long market accounts, the minimum maintenance requirement for short accounts is 30% in addition to the current market value of the securities. To find the value at which a shor