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What Is Short-Selling A Stock?
By Giovani Saintiny
The rights to stock can be temporarily transfered. And, if the person to whom those rights are transfered believes the stock's value will drop during that time, by waiting it out, that person can grab the difference, as the original holder of the stock only expected to own the market value of the stock at any given time. Day traders speculate on little shifts in stock value--sometimes hoping for them to go up, sometimes hoping for them to go down. Obviously, there's a lot more to this than merely buying shares of stock. |
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This intel was contributed by Giovani
Giovani
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May, 2012
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