Skip to main content
MarketSurfer

What is Short Selling?

Basics

공매도

A trade in which shares you do not own are borrowed and sold first, then bought back and returned later. It profits only if the price falls. As the outstanding short balance grows, so does potential buying demand, because the shares must eventually be bought back. If the price rises, that buying can arrive all at once and enlarge the move.

Short Sellingborrowsell firstbuy back cheaper and repayprofit if it falls — if it rises, the loss is open upward

Lessons using this term (with diagrams)

Related terms

← All glossary terms

Short Selling meaning — Trading glossary | MarketSurfer