One strategy to capitalize on a downward-trending stock is selling short. This is the process of selling “borrowed” stock at the current price, then closing the deal by purchasing the stock at a …

Dec 23, 2025 · Learn how short selling works with a step-by-step guide, including how to borrow shares, placing trades, managing risk, and understanding potential losses.

Nov 12, 2024 · Learn how to short the stock of a company that you believe will decrease in value. Weigh the pros and cons to this risky but potentially rewarding technique.

How to short a stock in 5 steps 1. First you’ll need a margin account. Borrowing shares from the brokerage is effectively a margin loan. You’ll pay interest on the outstanding debt.

Apr 3, 2025 · When you short a stock, you’re betting on its decline, and to do so, you effectively sell stock you don’t have into the market. Your broker can lend you this stock if it’s available to...

Aug 22, 2024 · Short selling aims to provide protection or profit during a stock market downturn, but it can be risky and requires a margin account. Learn the mechanics of shorting a stock.

Apr 8, 2025 · Shorting involves borrowing the stock from a brokerage, selling it, and then buying it when the price is lower than when they sold. The trader then returns the shares to the …

Dec 10, 2025 · Learn how to short a stock, why traders do it and what other alternatives exist to trade a decline in price rather than an increase.

Sep 13, 2025 · There are several ways to do this, from borrowing shares and selling them to using put options or inverse ETFs, and each path comes with its own costs, mechanics, and …

Jan 29, 2025 · Learn how to short sell stocks with this step-by-step guide. Discover actionable strategies, tips, and tools to profit from declining stock prices.