Dec 23, 2025 · Short selling is a trading strategy in which a trader aims to profit from a decline in a security's price by borrowing shares and selling them in the hopes that the stock price will eventually...

Shorting a stock can sound confusing at first, but it’s something you hear about all the time in the news. Many people wonder how it works and why anyone would try it.

"Shorting" or "going short" (and sometimes also "short selling") also refer more broadly to any transaction used by an investor to profit from the decline in price of a borrowed asset or financial …

Jul 4, 2025 · Shorting a stock means opening a position by borrowing shares that you don't own and then selling them to another investor.

One strategy to capitalize on a downward-trending stock is selling short. This is the process of selling “borrowed” stock at the current price, then closing the deal by purchasing the stock at a future time.

Nov 20, 2025 · Short selling is an advanced trading strategy where you borrow shares of a stock, sell them at the current price, and hope the price falls so that you can repay the borrowed shares at a …

May 8, 2025 · Short selling (aka shorting or taking a short position) is when investors sell borrowed securities in the hope of buying them back for a lower price. Often, shorting involves stocks, but it can...

Investors may use a shorting strategy as a form of speculation. In other words, it’s a high-risk maneuver that could possibly yield high returns in exchange for taking on exceptional risk.

Apr 3, 2025 · When you short a stock, you’re betting on its decline, and to do so, you effectively sell stock you don’t have into the market. Your broker can lend you this stock if it’s available to borrow. If...

Mar 6, 2025 · By borrowing and selling shares, an investor shorting a stock aims to buy the stock back at a lower price and pocket the difference. This article explores the mechanics, risks, and potential …