Yes you can short sell penny stocks, there's no restrictions as long as you find shares to short before you actually short...some brokers refuse to allow people to short stocks under $5 or under $3 or under !...rubbish...it's irresponsible to allow people to buy some of these carcasses, short selling them is the only reasonable thing to do...when they spike....I use and recommend 3 brokers: Thinkorswim (my favorite broker of which I am an affiliate) http://bit.ly/timtos see Thinkorswm reviews: http://www.investimonials.com/brokers/reviews-thinkorswim.aspx Sogotrade https://www.sogotrade.com/Setup/Default.aspx?rf=539221 see Sogotrade reviews: http://www.investimonials.com/brokers/reviews-sogotrade.aspx Interactive Brokers see their reviews http://www.investimonials.com/brokers/reviews-interactive-brokers.aspx See more articles I've written on this subject: http://www.investimonials.com/forums/recommended-brokers-for-shorting-penny-stocks-yes-its-legal--a-good-niche-strategy.aspx This had better lessen the # of emails I get on this subject!

Read interview on Shareplanner site. Anybody with the last name of Sykes has to ROCK!  Have a great Christmas . Mark Sykes