Options Trading Tutorial

Any brokerages accepting short orders on C, F or GM etc.?

The put-call parity is significantly broken on F, GM, C etc. but my brokerage will not allow short orders on any of these (they are restricted at my brokerage), which is one of the steps needed to take advantage of this arbitrage situation. I suspect that almost no brokerage will allow short order – which is likely the reason the put-call parity (which the market should never allow to be broken this much …5 to 10% just one month out.) Does anyone know any brokerages accepting short orders on these stocks and one that I could get an option agreement (to short puts) opened quickly?

Public Comments

1. My understanding is there are no shares available to borrow which is whats required legally to short sell. You could sell call options contracts, although I'm not playing the above mentioned equities.
2. When put-call parity is not maintained you can be sure there are no shares available to short at any brokerage. As you noted, you could make a substantial "risk-free" profit through arbitrage if you could short the stock. Market makers would not stay in business if they gave money away.