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Alias Born 10/18/2012

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Sunday, 11/23/2014 5:39:37 AM

Sunday, November 23, 2014 5:39:37 AM

Post# of 2804248

Short Selling:
The process of selling a stock with the hope of buying it back at a lower price (sell high, buy low). Short sellers are bearish and believe the price will decline. Short selling involves borrowing stock (usually from the broker) to sell short and using margin to finance the borrowing. If the price of the stock in question advances too far, the short seller will receive a margin call and be required to put up more money. A short squeeze occurs when the price advances so fast that short sellers are forced to cover their positions (buy the stock back), which drives prices even higher.

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