Videos

Understanding Long and Short Terms in Stock Market Trading

These terms are more efficient than terms like “buy” and “sell” because they tell your position–your mindset on a particular stock or on the industry.

Long:
-Positive on the market
-You can also be “long” on a particular stock: If you are long Nike, you’re expecting it to go up

Short:
-Negative on the market
-You can also be “short” on a particular stock: If you are short Nike, you’re expecting it to go down
-Selling with the intention to buy the shares back at a lower price

Benefits of using “Long”/”Short” vs. “Buy”/”Sell”:
-If you have 1,000 shares of Nike and you tell someone you sold 500 shares, they could assume you think Nike is going to go down even though you are still positive 500 shares.
-If you think a certain stock will go down and you decide to sell all 1,000 shares and later purchase 300 shares, and you tell someone that you bought the 300 shares, it is not clear that you are still negative 700 shares. They may not understand that you think Nike will go down.
-“Long” and “short” remove the ambiguity associated with the terms “buy” and “sell.”

#stockmarket #tradingstocks #longtermtrading #shorttermtrading

Posted at: https://tradersfly.com/blog/understanding-long-short-terms-in-trading/

???? GET MY FREEBIES

Freebies

???? SUBMIT A VOICE QUESTION
https://tradersfly.com/go/ask

???? START HERE: FOR NEW TRADERS

Start Here – for New Traders

???? START HERE: OPTION TRADERS
https://tradersfly.com/go/start-options/

???? MY CHARTING TOOLS + BROKERS
https://tradersfly.com/go/tools/

???? MY COMPUTER EQUIPMENT
https://backstageincome.com/go/computergear/

???? GET THE NEWSLETTER

YouTube Newsletter Signup

???? SEE OUR MEMBERSHIP PLANS
https://tradersfly.com/go/members/

???? STOCK TRADING COURSES

See All Our Trading Courses

???? STOCK TRADING BOOKS:

Our Stock Trading Books

⚽ GET PRIVATE COACHING
https://tradersfly.com/go/coaching/

???? WEBSITES:

Home Version 2.0


https://rise2learn.com

Homepage 2.0

Home

Home

???? SOCIAL MEDIA:
https://tradersfly.com/go/twitter/
https://tradersfly.com/go/facebook/

⚡ SUBSCRIBE TO OUR YOUTUBE CHANNEL
https://tradersfly.com/go/sub/

???? MY YOUTUBE CHANNELS:
TradersFly: https://backstageincome.com/go/youtube-tradersfly/
BackstageIncome: https://backstageincome.com/go/youtube-bsi/
MyLittleNestEgg: https://mylittlenestegg.com/go/youtube/

???? ABOUT TRADERSFLY
TradersFly is a place where I enjoy sharing my knowledge and experience about the stock market, trading, and investing.

Stock trading can be a brutal industry, especially if you are new. Watch my free educational training videos to avoid making big mistakes and just to continue to get better.

Stock trading and investing is a long journey – it doesn’t happen overnight. If you are interested to share some insight or contribute to the community we’d love to have you subscribe and join us!

Articles You May Like

Investors see little to be gained in stocks the rest of the year, favor dividend payers now, CNBC survey shows
Slow going for development of ESG risk disclosure standards
Pending home sales post surprise increase in May, likely due to brief pullback in mortgage rates
Fed’s Williams sees 50 or 75 basis-point rate hike debated in July
Ethereum Transfer Costs Continue to Slide — Network Fees Tap a 19-Month Low