Short Selling of Stocks | Short Selling Tips

One must go through the following points related to short selling to be able to understand the nuances related to short selling which is being searched on Google by using the following terms i.e. short selling in India or Short selling on NSE or ICICIdirect or Sharekhan.

The imp points to be considered is as appended below:

• (a) Historically markets have an uptrend bias in the long term.
• (b) Short selling puts an individual to a larger loss when going long.
• (c) Margin trading has always higher risk.
• (d) One is even subjected to a risk of a "short squeeze".

Thus short selling do have an advantage that one can make money in a bear market, however risk associated with the same is higher when compared with going long in the market.