Glossary › short position
Trading glossary · general
short position
A trade that makes money if the price goes down, by selling first and buying back later.
The fuller meaning
A position that profits when price falls: selling first and buying back later, directly or through futures, CFDs or options. Its stop sits above the entry, usually beyond resistance, and losses grow as price rises; shorting can carry borrowing or financing costs.
short position, also called short trade.
Related words
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