Question for any economics lads:
If one were to know that a stock was being bought out by a government to keep the price artificially high, how would an investor make money from this?
I can't see how shorting would work, because the the price is going to be held at that level.
......could you stealthy spell out the stock for me pretty please? :)
>>1515995
I will once I get an explanation that makes sense, I promise.
>>1515995
I can also say that it is a veritable elephant in the room, and the next 18 months should bring a whole fucking safari.
you could sell puts close to the strike price, and when they expire worthless you've made your money
if its being propped you just sell volatility around it.
or the covered put strategy for directional plays if you think the gov cant hold.
Short Stock w/ short puts.
if neutral you keep your sweet put money. if it burns you keep 66% of the ashes and any put money you've sold along the way. 45 days is ideal for puts.