Comment on Commonly Used Jargons

ARIJIT BANERJEE commented on 24 Apr 2015, 05:51 AM


(1) When I am shortselling I am actually borrowing the same stock from other market participant. Does the market participant know whether someone else is borrowing his stock? If answer is “no”, then if I forgot to square off, the stock will be debited from his account and after auction the same will be credited. Meanwhile if he check his DP Holding statement, of course he will know the whole thing…am I right?

(2) Volume represent both buy and sell together. Why? Only buying / selling can count the volume…isn’t it? Why buy and sell is different? If I think some people forgot to square off at the end of the day, then those stocks goes for an auction and ultimately square off. Then it make no sense to represent buy and sell volume different.

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