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Short-selling stock means you borrow the stock, sell it immediately, wait till it drops in price, buy it back, return it and keep the profit.
This is how you make money on a declining issue.
Long-selling stock requires that you buy the stock, hold it till it increases in price and sell it then, keeping the profit. It's what you do if you think the stock's fortunes will improve.
Long-selling has limited risk--you can only lose all the money you put into it--and potentially unlimited reward. Short-selling has limited reward--the best you can hope for is for the company you shorted to go out of business, locking in your profit as all the money you received from the sale of the stock--and potentially unlimited risk.
What else can I help you with?
What does adjustable stock mean in airsoft?
It means that the buttstock of a long gun can be adjusted to fit different shooters.
What does rotate the stock mean?
rotate the stock
What does it mean when a company floats on the stock exchange?
what does floating on the stock exchange mean
What do you mean by nifty if it relates stock and shares?
what do you mean by nifty if it relates to stock and shares
What does the letter s next to a stock in the stock listings mean?
Stock split
What do liquidate its existing stock mean?
To sell the stock.
What does remi mean?
Remi means second stock of a beef. The first stock is called Beef Stock.
What do the stock numbers mean?
How much each share of the stock are.
What does the stock symbol call mean for the majicjack phone?
what does stock symbol mean in magicjack, i try to call one of friend and does ring as prompt me stock symbol call.
What does it mean to buy to cover a stock?
If you are buying to cover a stock, it means that you have sold short the stock (borrowed the stock and then sold it in the expectation of the stock price dropping).
Buying stock on margin remained profitable as long as?
stock prices rose
Buying stock on margin remained profitable as long as .?
stock prices rose
