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[deleted] t1_j6hw99i wrote

Reply to comment by vampiretrades in Gautam Adani lost US$31 billion in one of the biggest weekly drops ever by hussmann

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mm_mk t1_j6i7wnz wrote

It's not stock manipulation. They reported their short position in the data. They did exactly what shorts are supposed to do from a market health perspective. They are supposed to profit because if they didn't, there would be no incentive to investigate bullshit companies

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vampiretrades t1_j6l5g7k wrote

I fully agree with you, and im totally against sec investigating shorts and banning short positions etc. Etc. But just for argument sake... why is it not the same as frontloading? You're taking a position then telling people you love or hate the stock?

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mm_mk t1_j6l817g wrote

From investopedia: >There is some grey area here. For example, a professional short-seller may accumulate a short position and then publicize the reasons for shorting the stock. This seems perilously close to a short-seller's version of a pump-and-dump scheme, in which a speculator hypes (or bashes) an investment for personal gain.

>There is a distinction, however. The short-seller in this example reveals the personal financial stake at the time of the recommendation. And, the information conveyed by the short-seller reflects a genuine fact-based view of the outlook of the stock shorted rather than a falsehood intended to mislead.

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vampiretrades t1_j6lbdz8 wrote

Intersting.. id agree facts or at least opinion based on valid research is a little more legit and not in the realm of manipulation.

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