During my trading period, I've observed big daily movement on short selling counters. Does these listed companies register their counters for RSS or Bursa picked them randomly?

we as retailer cannot short sell. and not all counters can be short.

Yes, I'm fully aware of that and knew there's a list of companies in Bursa under RSS. I'm not asking if we as retailer can short sell, please refer to my question.

If I remember correctly, usually the counters selected by Bursa are usually the ones that are most stable, most liquid and most importantly, big counters meaning blue chips or high market capitalisation companies. Hence, you do not see companies like Tadmax or Sumatec being hand-picked for shorting although they are short targets.

Also usually these RSS registered companies are not the companies that are volatile and non-vulnarable in the market. So in short, Bursa selects them, not the companies.

Thanks for the clarification. Short selling counters can be annoying with all the ups and down but if one learns to ride the trading pattern, can make good money in the day itself.

Airasia happened to fall under RSS. Tony had been saying the share of the company is way below actual value. Many times when there's positive news, short selling will drive it downwards. Can Tony get his counter out of RSS even if he request from Bursa? Just asking out of curiosity.

This post has been edited by Xccess: Sep 1 2016, 09:07 PM

Never borrowed any money from the brokerage, and nevered prefer to short sell. But if one knows the timing, it can be done. However, that being said personally, I prefer having put warrants in place. But to have put warrants on individual stocks, this also comes back to RSS. If the issuer is unable to short shares, how can they place put warrants. It cam be useful, let's look at HKEX and the NYSE. Shorts from individual happens everyday wothout a hitch. But I would prefer Bursa will open maybe one day in the future, one day...

Anyway, about the AirAsia issue, Tony could ask Bursa to not include it on the list. Technically it's up to him whether to be included or not but so far he has not make any noise about this and neither does other companies. High likely, these companies will only voice out should there be a market crash or an economic downturn. So from my perspective, he can if he wanted to and also once again, comes back to Bursa for an approval to remove from being a RSS security.

Not using trading limit from brokerage. This is what I did with Airasia in the morning. I knew some big players will be short selling therefore anticipated a drop in share prices after opening. Have been monitoring this counter for many days, more or less can see the trading pattern.

Previous close : 3.00 (30th Aug 2016)
Open at : 3.08 (1st Sept 2016)
Unloaded at opening : 3.05 (9 a.m)

Share plunged down to 2.93 around 3p.m. Re-entered at low. May dispose them tomorrow morning after profit taking (Hopefully there's some), news of Zika is not encouraging for airlines therefore expect a dip in prices next few days. I maybe wrong.

Maybe TF is short selling thru other party, who knows what's happening behind the curtain...lol. Thanks for taking your time to reply, much appreciated.

This post has been edited by Xccess: Sep 1 2016, 11:14 PM

2021
Resume


What will happen to bank and glove???

How long can a person hold the rss share?

You mean how long before the RSS seller must buy back the RSS shares?

Answer: can be as long as he is willing to pay the fees. One day, one month, one year etc.. No fixed period.

Yup, thanks.