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Going Short

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Description

Selling an asset with the expectation that its value will fall.

Going short involves selling an asset you do not own with the expectation that its price will decrease, allowing you to buy it back later at a lower price to profit from the difference. This strategy is used to capitalise on anticipated market declines or to hedge against other positions. Short selling carries potentially unlimited risk since there’s no cap on how high a price can go.

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