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." ★ SUBSCRIBE TO MY YOUTUBE: ★ http://bit.ly/addtradersfly ★ 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 large mistakes and to just 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! STOCK TRADING COURSES: -- http://tradersfly.com/courses/ STOCK TRADING BOOKS: -- http://tradersfly.com/books/ WEBSITES: -- http://rise2learn.com -- http://criticalcharts.com -- http://investinghelpdesk.com -- http://tradersfly.com -- http://backstageincome.com -- http://sashaevdakov.com SOCIAL MEDIA: -- http://twitter.com/criticalcharts/ -- http://facebook.com/criticalcharts/ MY YOUTUBE CHANNELS: -- TradersFly: http://bit.ly/tradersfly -- BackstageIncome: http://bit.ly/backstageincome

Comments

  1. Why would you wanna sell 500 shares and keep a million shares of one company (going long)? Why not just keep the 500 shares if you go for long?
  2. so long means sell and short means buy?
  3. awesome simple videos thank you
  4. Sasha Evdakov I am 34, kind of a smart guy, when it comes to Etymology, History and Politics, but I never got into wanting to learn the Stock Market, until now. I just hated seeing all of the numbers and letters. I didn't know what it meant and didn't really wanna take time to learn. But watching these first 3 videos is so interesting. I now know a lot more, than before. I feel my brain growing and it seems fun. I just want to Thank You. I think this is going to be my new hobby. I am going to study all day and night, for days. Screw politics, we might get nuked, in 6 days. At least I'll die, knowing stocks weren't rigged; plus I'll learn something new. God Bless!!
  5. keep up the great work, these videos are very helpful
  6. thanks for making this easy to understand
  7. Hi Sasha, Great videos! Do you know which Brokers are best for dealing with short-selling and Penny Stocks? I hear TD Ameritrade is good for this but not sure.
  8. thnx
  9. I read many times about Long/ Short but it didn't make sense and made me think why not just say 'Buy/Sell'...Now I understand the point thanks to this video..Gracias:))
  10. i like all your videos...thank you for your shared knowledge
  11. Appreciate these videos, Keep them up!
  12. My question is, why would you sell if you're looking for it to go up (Long)?
  13. Sir can i sell only portion of your stock and not the entire?
  14. hello, do you have any video about penny stocks ? thank you
  15. great video, Thanks. But I have a stupid question. does 100 Share means that I am investing $100??!! confused why people say 100 shares, 1000 shares....
  16. You are very helpful to people. You gave me a great amount of understanding which I didn't have!
  17. i did understood short term, but i got a little confused with long term, if you have 1000 shares, and you think the market will go up, so why would you sell 500 shares? and if it does go up, then if you want to buy those 500 shares, then you will have to buy them at a higher price. so why would you sell them at first?
  18. Perfect!
  19. I'm gonna make it a point to understand this stock market trading because 2016 i wanna start buying.
  20. Great Video! I just get really confused when they combine it with Long, Short, Call, Put. For e.g.. A long call, short put.


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