RE: French trades15 Jul 2021 23:06
Kaeren @ 16:51
Please educate me on this , if shorts have borrowed the shares with the bet of them going down in price , then at some point they will have to close their short by buying these back . So , then , surely someone would be selling the shares for them to buy back ? That's what I was referring to , because there were so many big sells on the French side .
Definition of short selling
In short selling, a position is opened by borrowing shares of a stock or other asset that the investor believes will decrease in value. The investor then sells these borrowed shares to buyers willing to pay the market price. Before the borrowed shares must be returned, the trader is betting that the price will continue to decline and they can purchase them at a lower cost. The risk of loss on a short sale is theoretically unlimited since the price of any asset can climb to infinity.