What is stock short selling?
In order to short a company, you must sell shares of stock that you do not actually own in the hopes that the stock price will fall and you can afterward repurchase the shares for a profit. You normally need to work with a broker who provides this service in order to short-sell a firm. To short a company's shares, you must submit a "short sale" order, which tells the broker to sell those shares. The broker will buy the shares on your behalf from the owner and sell them on the market. In the event that the stock price…
