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XYZ Inc. is currently under investigation by the European Union for tax fraud charges. You believe the company will be indicted and forced to pay
XYZ Inc. is currently under investigation by the European Union for tax fraud charges. You believe the company will be indicted and forced to pay $11 billion in back taxes and penalties. Therefore, today, you shorted 1,000 shares of XYZ when it was selling at $125.50. You want to limit your potential losses to $5 per share- in case the share actually goes up. How can you achieve this?
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