I got a couple of messages asking for more details so I thought I would just make a quick post with a very high level overview: An ETF is basically a group of stocks that you can trade like an individual stock (at a much cheaper price than buying all the underlying stocks). Once, Robin Hood was arrested, but his gang was loyal and they saved him. Can you short on Robinhood? I think he is a real hero! And he always went by a law that they should only take what rich people did not need or deserve. You can actively trade with a cash account, but you have to wait 3 days for each trade to settle, which effectively makes it so you can only day trade 2-3 times/week. Intermediate to advanced traders or long term investors (particularly dividend investors) … One thing to watch out for are leveraged ETFs, they try to magnify the gains at the cost of also magnifying losses. She dressed as a man because going far by herself was forbidden for women. Write a comment and tell us! Cookies help us deliver our Services. This is a much safer way to "short" the market then actually shorting using a margin account. Just trying to explain what they are and how I, just another random trader, personally use them as a way to "short" the market. Once, Robin Hood was arrested, but his gang was loyal and they saved him. Leveraged ETFs typically aren't meant to be long term investments, they're more suited to active traders who are willing to take on more risk. SpicyPearl5000 replied on 21 December, 2019 - 12:44 Bangladesh Permalink, no i have'nt watch or read any robin hood movie or book, SwimmingToeRobot replied on 27 November, 2019 - 11:57 Vietnam Permalink, CrazyChef400 replied on 8 February, 2019 - 19:15 South Africa Permalink, CaptainWebRhythm replied on 9 December, 2018 - 10:41 Czech Republic Permalink, Short storiesNessie - the Loch Ness Monster. poor rich ppl get robbed by an outlaw in the forest. Also, you can't short stocks at this time with a Robinhood account. CaptainBunnyUranus replied on 6 October, 2020 - 14:40 Vietnam Permalink, CaptainBunnyUranus replied on 6 October, 2020 - 14:39 Vietnam Permalink, PaperJewelDolphin replied on 7 April, 2020 - 11:19 United Kingdom Permalink, Wow never new that! Who was Robin Hood? One important distinction to make about Robinhood is that you cannot short sell. Robin hood take money because he want to help poor people.But not to be a bad people. By using our Services or clicking I agree, you agree to our use of cookies. Robin Hood had a big row to get Priest Tuck into his gang. AgentButtercupM... replied on 10 October, 2020 - 15:58 Bangladesh Permalink. This may be there way of protecting their users from costly mistakes, as shorting is … Also, you can't short stocks at this time with a Robinhood account. You would have made more with the leveraged ETF, but had you been on the wrong side of it, you would have lost much more. You can't short through Robinhood. Great explanation. There are many factors which affect option pricing. The reason is, with "real" shorting, your losses really have no limit (if the price jumps up over 100%, you're in debt for MORE than your initial investment). From the end of December, the price of $SH went from $20.50 to peaking over $23. Could you explain to a newbie please? © British Council If you buy a put or sell a call (which you also can't do naked through Robinhood), it would be sort-of like shorting. Have you seen any Robin Hood films or read any stories about him? Wow I wish I had known about this at 9:30 this morning... You live and you learn. http://stockcharts.com/freecharts/candleglance.html?SPY,SH, http://stockcharts.com/freecharts/candleglance.html?SH,SPXS. And Marian , who was going through a bad time , had run away to Sherwood. Lastly, Robinhood doesn’t allow short selling. Watch this story, one of our 'British tales' videos about characters and people from British history, to find out! 2. You can approximate shorting okay with the right options, but you can also lose a lot of money to risks you … I have read lots of stories about Robin Hood . You'll notice the chart looks very similar, but look at the difference in prices. This means you can’t actively trade on margin unless you have a $25k min balance. Whereas using an Inverse ETF (like going "long" on any stock), your losses are limited to the amount you invest. So I made mention a couple of times about using "inverse ETFs" as an alternative to shorting while the market was going down.