Subscribe to our newsletter to get free stock market tips and investment advice! (348 subscribers) RSS Feed

[ A B C D E F G H I J K L M N O P Q R S T U V W X Y Z # ]

Short Selling


Short Selling		A risky and speculative practice involving the sale of a stock that the seller doesn't possess. The seller is effectively betting that the price of the stock is going to fall and that they will be able to buy the stock back at a lower price.

Additional comments: There is big money to be made on the short side of the stock market. But the public is not short-sell minded. We advise a toe-to-the-water approach. Try it slowly and see. It's not so cold. In fact, it's fine once you get in. You gain confidence that you can handle any market direction But know the ropes first. Read through Short Selling 101 for a background in short selling.

Related Terms
		Covered Put A put option position in which the option buyer is also short the corresponding stock or has deposited cash or cash ... Go Short To sell securities, options, or futures with the intent to profit from a drop in the price of the assets. ... Back Spread A back spread is essentially an inverted ratio spread.When constructing a back spread, you are selling an option closer to the ...

Latest Investment Advice

Get free stock market tips and investment advice by subscribing to our newsletter:

* Your information will not be shared or sold.