Short Selling

Short selling, or shorting a stock, occurs when an investor borrows a security with the expectation that the value decreases. Should the value decrease, the investor then purchases the stock at a lower price. The difference in prices is the profit margin. While shorting may be risky, it also provides huge returns.

Recent Articles

Trade of the Day: Any Rally is a Chance to Sell M Stock

Macy's, Inc. completed a head-and-shoulders top with a high-volume breakdown. More 

Trade of the Day: WMT Stock Runs Smack Into Resistance

Wal-Mart Stores, Inc. reversed lower from a crucial line on a gap down. More 

Trade of the Day: BBBY Stock Breakdown is a Clear Sell Signal

Bed Bath & Beyond Inc. is in an orderly but distinct downtrend, and support is likely to fail. More 

Trade of the Day: SBUX Stock Cooling Off Again

The sideways movement in Starbucks Corporation is likely to lead to another leg lower. More 

Trade of the Day: IBB Breaking Down

Some notable technical damage favors more downside in iShares NASDAQ Biotechnology Index (ETF). More 

Trade of the Day: BAC Stock Fails at a Crucial Juncture

Follow-through selling confirmed a bearish reversal in Bank of America Corp. More 

Trade of the Day: Proceed With Caution in CSX Stock

Traders would be wise to respect the difficult layer of nearby resistance in CSX Corporation. More 

Trade of the Day: Buy or Bail on Utilities SPDR (ETF) (XLU)?

The fundamentals and technicals provide a pretty clear answer. More 

Trade of the Day: BBY Stock Looks Like a Better Short Than Buy

The recent rally in Best Buy Co Inc failed at the 200-day moving average. More 

Trade of the Day: CHK Stock Headed for a 25% Drop

Chesapeake Energy Corporation looks ready to break down from a descending triangle. More