Anonymous
Heard of people saying short and long... What do they mean?
4
Discussion (4)
Learn how to style your text
Reply
Save
Lim Boon Tat
11 May 2020
Mathematics at Cambridge University
Assuming these are logical people... A few things to note:
(1) the aim is to buy low, sell high (in order to make $ - although from many people's behaviour, it seems as though they are doing the opposite).
(2) on most platforms, you dont have to do it in that sequence. You can buy low, and then sell high. OR you can sell high and then buy low.
When people say they are long a particular stock, for example "I'm long apple", it means that they expect Apple's stock price to go up in the future. That means they are going to buy the apple stock TODAY (when it's lower), and sell it in the future (when it's higher). So LONG = BUY
When people say they are short a particular stock, for example "I'm short apple", it means that they expect Apple's stock price to go down in the future. That means they will sell the apple stock TODAY (when it's higher), and buy it back in the future (when it's lower). So SHORT = SELL
Reply
Save
Going short basically means the investor will earn when the price of stock drops. For example, if a ...
Read 2 other comments with a Seedly account
You will also enjoy exclusive benefits and get access to members only features.
Sign up or login with an email here
Write your thoughts
Related Articles
Related Posts
Related Products
4.7
479 Reviews
From $0
MINIMUM FEE
0.03%
TRADING FEES
Custodian
STOCK HOLDING TYPE
4.5
957 Reviews
4.9
125 Reviews
Related Posts
Short - Bearish on price, sell high now to buy low later to realise a profit.
Long - Bullish on price, buy low now to sell high later to realise a profit.