Options Glossary

Glossary: Short (to be short)

Last Updated: July 12, 2015

Glossary

Short (to be short)

What Does Short (to be short) Mean in Options Trading?

To sell a financial instrument in order to open a trade in expectation for a downward move in the instrument. Shorting stock requires the stock to be borrowed from the broker and then later returned. Shorting options (or writing) involves creating a new contract for the option buyer.

Synonyms:
writing, shorting

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