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 By Joseph Kenny
"‘Shorting’ or short selling refers to the
selling of a contract, a bond or stock or a
commodity that is not directly owned by the
seller. When practicing short selling, a seller
is committed to purchase the stock or commodity
previously sold.
Short selling stocks means to take the stock
from a broker on loan and sell it off to
someone..."
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 By
Joseph C
Lombardo
"Short Trading - The 'Long' and
'Short' of Trading I wish that people
would more readily know that you can make money
in the markets despite whether the markets are
moving up or down. You can take a traditional,
common approach to trading, that being, buy low
and sell high. BUT, you can also flip-flop that
method of trading and sell high then buy low
and make money the same way. Now, you are
trading!..."
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 By Carl G.
Robertts
"Clearly, while the opportunity to profit in
short stock trading is attractive, there are
several risk factors of which you should be
aware.
First, stock prices, in general, typically tend
to go up – not down. You are taking the chance
that a particular stock will “buck” this trend.
If it doesn’t, you’ll show a loss, not a
profit.
Second, you need to remain aware at all times
that you are borrowing stock – and, therefore,
money – and that you can, in fact, lose more
than you put in on the deal. Many people
overspend with their credit cards; the same is
unfortunately true of short-sell stock deals:
convinced that they’ll be able to make a profit
and pay off the loan, people tend to oversell –
and occasionally are unable to make good on the
debt.
Third, if a particular stock is being
short-sold by a number of investors..."
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 By
Thomas
Sutton
"Falling markets always cause investors
grief. The media reports any selling in a
mortally serious tone, while bullish
cheerleaders comfort the masses with promises
of better days ahead. Negative sentiment
usually intensifies right along with the
selling, and desperate prayers are offered to
the heavens as everyone nervously holds their
breath.
Well, not everyone. In fact, more folks are
starting to take advantage of the normal rising
and falling of the market tides by learning to
sell stocks short. For example, Investor's
Business Daily newspaper founder William J.
O'Neil's latest book is titled "How To Make
Money Selling Stocks Short."
Selling stocks short is a simple way to make
money when stocks drop. To "sell short" you
simply borrow the stock from your broker, sell
it, and then buy it back when the price drops.
You then return it to the broker you borrowed
it from and keep the profit. Yes, it's
perfectly legal..."
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