GOING SHORT Definition

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GOING SHORT is the selling of commodities, bonds, or stock before actually buying it. This happens when a dealer or investor believes the price of the item (on the date of its delivery to the buyer) will be lower than its current price. He or she expects to make a profit by buying the item on or just before its delivery date. See GOING LONG.

Learn new Accounting Terms

TRADE DATE, in securities, is the actual date on which a trade is initiated or executed.

MOU is Memorandum of Understanding.

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