Sell short

Sell short,

Definition of Sell short:

  1. A trading strategy in which an investor borrows shares of a security or futures contract (typically from a brokerage firms inventory) and offers them for sale to other investors. If the price goes down, as the investor believes it will, he or she will buy the position back at the lower price and return them to the lender. If the price rises, the investor will be forced to buy the shares or contract back at a higher price to return them to the lender, resulting in a loss. In either case, the gross profit (or loss) on the trade will be the difference between the buy and sell price.

  2. Sell stock or other securities or commodities which one does not own at the time, in the hope of buying at a lower price before the delivery time.

Synonyms of Sell short

Belittle, Clear the trade, Close out, Convert, Convert into cash, Cut under, Deprecate, Depreciate, Disparage, Dump, Effect a sale, Job, Liquidate, Make a sale, Make light of, Make little of, Make nothing of, Market, Merchandise, Minimize, Misestimate, Misprize, Move, Resell, Retail, Sacrifice, Sell, Sell off, Sell on consignment, Sell out, Sell over, Sell retail, Sell up, Sell wholesale, Set at naught, Set little by, Shrug off, Terminate the account, Think little of, Think nothing of, Turn into money, Turn over, Undercut, Underestimate, Underprize, Underrate, Underreckon, Undersell, Undervalue, Unload, Wholesale

Meaning of Sell short & Sell short Definition