This feature is not intended for novice investors as adverse price movements could lead to
theoretically unlimited loss.
A stop - loss order should be entered at $ 59 to protect against a change in the trend and the potential for
theoretically unlimited losses.
If you're concerned about
the theoretically unlimited losses you can rack up in spread betting, you may be better trying your hand at something a bit less risky first — fixed - odds betting.
Not exact matches
Whereas a simple Long / Short position may sustain a
theoretically unlimited fatal
loss, a pair position is protected from this risk, by its very nature.
Because the Fund's
loss on a short sale arises from increases in the value of the security sold short, such
loss is
theoretically unlimited.
In addition, investors can lose only the amount that they invest, whereas when they short stocks, stock baskets or ETFs, their
losses are
theoretically unlimited.
Short sales that are not made «against - the - box»
theoretically involve
unlimited loss potential since the market price of securities sold short may continuously increase.