HSX Forum

Playing & Trading Strategy

terminology

Posted by: ndmaster (a.k.a JonHH) on Aug 12, 22:16 in response to dc82's post When you buy starbonds SHORT, how do you sell them?? Bit...

buying or shorting is a way to intitiate, or open, a position.  selling or covering is a way to close out a position.

for instance, if you think a stock will go down, your initial trade will be to short it.  if you think it will go up, you would initially buy it.  you now have either a long or short position you didn't have before.  to close, or eliminate the position, you would sell your long (that you bought) or cover the short (that you shorted).

so, it might be better to think of opening (buying or shorting) or closing (selling or covering) a position.





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