First, let’s with what shorting a stock means. When you buy shares of a stock, it’s called going long. Shorting occurs when you sell more shares than you own. Since a stock’s price is determined by how many people want to buy a share vs. sell one, short selling increases the number of sellers and typically […]
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What is Short Selling? If you’ve spent any time reading about investing or watching CNBC you’ve probably heard the term short selling or shorting a stock. But what does this really mean? And more importantly-should you do it? How to Short a Stock To sell a stock short, you follow 5 basic steps: Borrow shares of […]