Short Sale Restriction | Trading Lingo
Short Sale Restriction | Trading Lingo
Short Sale Restriction (SSR) occurs when a stock drops 10% or more in a single day. Once a stock has SSR traders cannot take short positions except when the stock is moving up. Positions can only be taken on “upticks”. In other words, when stocks are moving up.
That means traders short at the Ask Price, and have to wait for a buyer to buy the shares they are trying to sell short.