In the financial market, whether it is traditional stock trading or crypto trading, short selling is a clear-defined and ubiquitous behavior. Basically, short selling and going long are counterparts in market operations. Opposite to long selling, short selling generally refers to the process of borrowing first and then selling, and then buying to repay later.
In short selling, there are usually market makers serving as an intermediate lending platform, similar to credit transactions. Using this trading mode, investors can often profit when prices continue to fall.
Let’s take stocks as an example. Investors borrow stocks from a brokerage firm when the stock price is high, and then sell them. When the stock price keeps falling, investors can buy stocks in the market and repay the brokerage, during which investors will earn the spread.
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Kusama coin (KSM) is the native token of the Kusama Network with on-chain governance capabilities for users. KSM offers a wide range of use cases such as staking, governance, and parachain auction.
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Trendlines are lines drawn on a chart to identify the direction and strength of a trend. It helps traders make more informed decisions about their positions.
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Price action refers to the way prices change over a period of time. It helps you to make good trading decisions like when to enter and when to exit a position.
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A rising wedge pattern is a popular technical indicator. It indicates a reversal seen in a bear market. Learn everything about this pattern in this article.
2026-04-09 05:07:52
The triple top and bottom patterns are used to identify trend reversals on a chart. When learned well, both patterns can help you know when to exit a trend.
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A Pennant is a trend continuation pattern, which follows price trends, either bullish or bearish. It helps traders monitor price trends.
2026-04-09 04:57:49
Risk management is vital to perform an informed investment. Developing risk management awareness and mastering necessary risk management skills are vital for crypto investors.
2026-04-09 04:52:01
The Volume-Weighted Average Price (VWAP) is a technical analysis tool for measuring the average price weighted by volume. When the price is above the VWAP line, the market is in an uptrend, and when the price is below the VWAP line, the market is in a downtrend. Lots of traders and institutions use VWAP as a key indicator to judge buying and selling points.
2026-04-09 04:50:16
The Parabolic SAR indicator is a technical indicator that highlights the price direction of an asset.
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KuCoin is a user-friendly crypto exchange service that allows users to buy, sell, and trade various cryptocurrencies.
2026-04-09 04:44:17
A Donchian Channel is a trading technique used as an indicator by traders to identify bearish and bullish points within the financial market, and when to take a long or short position.
2026-04-09 04:43:16
Auto-deleveraging (ADL) is a risk management mechanism deployed by centralized exchanges to cancel pending orders from a user with a higher ADL ranking.
2026-04-09 04:39:06
The Dow Theory is a technical analysis theory created by Charles H. Dow that recognizes upward and downward trends in the stock market.
2026-04-09 04:37:16
The Heikin Ashi Chart is a type of candlestick chart that provides a smoothed visual representation of price action, helping to eliminate market noise and identify trends in the market.
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