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Home Binary options Vocabulary Short position

Short position

Short position – is a selling of financial asset, which at first wasn’t a trader’s one (but technically it looks like this – a trader borrows a financial asset at a broker, then he sells it in the market. After trading finishes, a trader buys a financial asset back and gives it to a broker.) The profit in short positions can be if a financial asset after its sale drained in its price. It is opposite to long position.

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