Shorting Stocks
What is it? A method of gambling on a stock whose price you think will decline. Instead of purchasing shares of a stock you think is going up in price, you instead borrow shares, sell them immediately, wait for the price to go down, and then buy them at the lower price and return the shares to the broker. The advantage of shorting stocks is that you can make a profit without an initial cash investment.Added By: Megan
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