Stock Short Position Definition

Below please find a definition of “Stock Short Position”

Financial Analysis Training & Glossary TermsStock Short Position: A trading technique, used when an investor believes a stock price will go down, that involves selling stocks the investor does not yet own. Shares must be borrowed, before the sale, to make “good delivery” to a buyer. Eventually, the shares must be bought back by the investor to close out the transaction.

Free MP3 Download:  To download our free 35 minute audio interview with expert Richard C. Wilson on how to succeed in the field of finance please click here.

Fast Financial Training: If you want to take your finance or business career to the next level you should explore our financial analysis certification program, or our training programs on financial modeling, investment banking, hedge funds, or private equity. All of these programs are offered on

Expand Your Financial Vocabulary: Read more finance terms and definitions

Tags:  Stock Short Position, Stock Short Positions, Stock Short Position Definition, what is a Stock Short Position?

About Richard Wilson