Short Selling (Total size: 775.8 MB Contains: 9 folders 29 files)

What is Short Selling?

The Basics

When an investor goes long on an investment, it means she has bought a stock believing its price will rise in the future. Conversely, when an investor goes short, he is anticipating a decrease in share price.

Short selling is the selling of a stock that the seller doesn't own. More specifically, a short sale is the sale of a security that isn't owned by the seller, but that is promised to be delivered. That may sound confusing, but it's actually a simple concept. Here's the idea: when you short sell a stock, your broker will lend it to you. The stock will come from the brokerage's own inventory, from another one of the firm's customers, or from another brokerage firm. The shares are sold and the proceeds are credited to your account. Sooner or later you must "close" the short by buying back the same number of shares (called "covering") and returning them to your broker. If the price drops, you can buy back the stock at the lower price and make a profit on the difference. If the price of the stock rises, you have to buy it back at the higher price, and you lose money.

Most of the time, you can hold a short for as long as you want. However, you can be forced to cover if the lender wants back the stock you borrowed. Brokerages can't sell what they don't have, and so yours will either have to come up with new shares to borrow, or you'll have to cover. This is known as being "called away." It doesn't happen often, but is possible if many investors are selling a particular security short.

Since you don't own the stock (you borrowed and then sold it), you must pay the lender of the stock any dividends or rights declared during the course of the loan. If the stock splits during the course of your short, you'll owe twice the number of shares at half the price.

 
Why Short? There are two main motivations to short:
1. To speculate

The most obvious reason to short is to profit from an overpriced stock or market. Probably the most famous example of this was when George Soros "broke the Bank of England" in 1992. He risked $10 billion that the British pound would fall and he was right. The following night, Soros made $1 billion from the trade. His profit eventually reached almost $2 billion.
2. To hedge

For reasons we'll discuss later, very few sophisticated money managers short as an active investing strategy (unlike Soros). The majority of investors use shorts to hedge. This means they are protecting other long positions with offsetting short positions.
Restrictions

There are many restrictions on the size, price and types of stocks you are able to short sell. For example, you can't short sell penny stocks and most short sales need to be done in round lots.
Short selling also requires that you put up margin. As with a margin buy (long) transaction, the percentage required varies depending on the eligibility of individual securities.

Proof of content,please see the images:

Delivery to your PayPal email address within 24 Hours of payment confirmation.

Completing units:

Forex Trading Like Banks – Step by Step with Live Examples

To buy without signing in contact us here:

Market Sales Price: $399,but we sell lot more lower than that to share the opportunity with you!

Our Policies

A. Product Quality

• We ensure that the quality of the course is good, and we update them regularly to help you keep update.
• If there is a problem you can not use, please let us know so we can fix it soon or if there is any notification, we will inform you immediately.

B. Shipping Method

• After receiving your payment, we will send you a link to access and download the course. If our team is not in the office, please wait for us about 8 hours to come back.

C. Refund Policy

We do not accept refund after you got the link and download the course.

We will refund your money in case of:

1. Item is not as described
2. Item doesn’t work the way it should
3. Item support extension can’t used

Serving Professional Traders Since 2008

Once purchased I will email you the files within 20 minutes and not more than 48 hours to your email, if there a delay, please be patience receiving your files