Short Selling
The selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller. Short sellers assume that they will be able to buy the stock at a lower amount than the price at which they sold short. Investopedia Says:
Selling short is the opposite of going long. That is, short sellers make money if the stock goes down in price.
This is an advanced trading strategy with many unique risks and pitfalls. Novice investors are advised to avoid short sales. Related Terms:
Bear
Bear Raid
Bull Market
Buy Back
Buy To Cover
Days To Cover
Naked Shorting
Short (or Short Position)
Short Covering
Short Interest
Short Interest Ratio
Short Interest Theory
Short Sale Rule
Short Squeeze
Tick Test Rules
Zero Plus Tick |