In forex, the purchase you are making is a currency, and when you go long, you profit when the value rises; when you go short, you profit when the value falls. It can now be said that you are “long” stock of ABC Inc. and “short” of U.S. dollars. You can do so by buying (going long) one or more sugar futures contracts at a futures exchange. Advanced Trading: Going Long and Short on the Same Instrument in the Same Account. When you sell the 100 shares you are “flat.” Flat means you have no position–you are neither long or short. contracts for difference (“CFDs”) is speculative and carries a high level of risk. A long position is when you buy a currency at one price and aims to sell it later at a … I therefore tested a strategy of going long on the VIX index for one day whenever the S&P 500 monthly return was over 10% or under -3%. Trading by buying an asset is called 'going long' while selling is 'going short' To open a short trade, you sell an asset whose value you expect to decline. Going long in crypto trading means buying a token for the sole purpose of holding it for a minimum of one year, in the hopes that it will appreciate in value and “go to the moon”. The term bull or bullish comes from the animal, attacking with an upward thrust. It’s one of the main reasons why some… Read More Now. Therefore, “bear” means a downward trend or price direction. Here’s the definition of these words, along with explanations and examples of each. And based on what they’re saying…they have no intention of putting their foot off the gas. Forex traders use the idiom “going long” or “going short” to indicate the direction of the trade. The system recommends entering this trade at any price between 1.08399 and 1.08577. Traders also tend to go long when the currency price comes down to a well-defined support level or a price floor. There are many trading styles, with frequent or dynamic traders and some longer-term investors. During this time prices fell, or where bearish. The price has dropped by 10.49% and Bitcoin longs worth $43.8 Million were liquidated in the past 24 hours on BitMEX vs $6.5 Million shorts. In contrast, "going long" minimizes the cost throughout the supply chain, especially if combined with collaborative supply chain management activities such as sharing production, marketing, … In the trading of assets, an investor can take two types of positions: long and short. You can measure the changes in value in pips: a pip is 0.0001 of the value of the quote currency (except for yen, where a pip is .01 of the value). Going long. A "short" position is generally the sale of a stock you do not own. The Tidal Shift Strategy has just bought EURCHF at 1.08488. Weekly Windfalls Jason Bond December 7th. The world of trading has its own terminology, and long and short are terms you’ll hear frequently. This is because for you to profit, the value of the ABC Inc. stock must rise against U.S. dollars, or altern… I was but a young buck when the mining boom started back in the years after Y2K. For example, let’s say that you buy a stock of ABC Inc. with U.S. dollars. Are certain investments worth some extra risk? Prices may go down as well as up, prices can fluctuate widely, you may be exposed to currency exchange rate fluctuations and you may lose all of or more than the amount you invest. If you are unsure, seek independent financial, legal, tax and/or accounting advice. Example: Long Nickel Futures Trade. Going long is a trading term that is used a lot. Broker of the month. To go long on a certain currency, you open a trade in a buy position, because you believe the base currency is bullish—likely to rise in value. Bear: falling prices, or a person who believes prices will fall. Investing, Investing Strategy. With fundamental analysis, you'll be looking at economic news related to the currencies in question. Savvy investors must have an arsenal of tools and strategies available to employ as the market … By continuing to browse the site or clicking "OK, Thanks" you are consenting to the use of cookies on this website. The opposite of a “long” position is a “short” position. You have $10 000 worth of capital and the initial margin required to trade ABC is 5%. This isn’t my first rodeo. Here’s how…. Bitcoin is now trading at $17275, down from $19300, 3 days ago. A bear or bearish person thinks prices will fall. Past performance does not guarantee future results. You might also hear people talking about “shorting the FTSE100”, which means they expect the value in the FTSE100 to fall and therefore are adopting a short position, which means you’re selling ahead of it. The world of financial trading loves nothing more than a bit of jargon and 'going long' simply refers to the practice of opening a position on the market with the expectation of the price rising in … Advanced Trading: Going Long and Short on the Same Instrument in the Same Account. For more on how short selling works, see the U.S. Securities and Exchange Commission’s Short Sales page. An example of a stock screen is looking for high volatility stocks with moderate to high volume, as discussed in How to Find Volatile Stocks for Day Trading in 20 Minutes or Less. If you bought (went long) 100 shares of stock at $30 and sold at $50 you make $2,000. Going long on a stock or bond is what most investors do in the capital markets as it simply means buying a stock, and those new to the investment scene are most likely to adopt a long-term strategy. Example: Long Sugar Futures Trade . If the stock rises though you’ll be in a losing position. When some is “long the basis” that means the trader is long the cash and short the futures. The most common meaning is length of time an investor hold a commodity, security or currency. If a trader is in a trade on the basis that the market is going to force the price of a currency pair upward this is known as LONG position. https://www.thebalance.com/what-does-it-mean-to-go-long-1344959 Your capital is at risk. Long/short covers a wide variety of strategies. Going short means short term trading – could be hours, days, weeks … depends – that helps you take near instant profits whenever it’s available. Trading with Focus – Going long on karma. For example, if you go long 100 shares at $10, you need to sell them at some point to collect your profit. Going long involves buying a spread bet contract with the expectation that the price of the underlying share or other market instrument is likely to rise. CFDs and other derivatives are complex instruments and come with a high risk of losing money rapidly due to leverage. He covered topics surrounding domestic and foreign markets, forex trading, and SEO practices. This is called “going short” or taking a “short position”. 3 days ago, on November 24, 2020, the situation was a contrast. Cash prices are $4.50 and the December futures are $4.80. If someones says “I’m going long WXYZ at $14” it means they intend to buy WXYZ stock at $14. Some links are affiliate links. A bear attacks by swiping down with its paw. You sell 50 000 ABC shares (with a market value of $200 000). The question is, how do you sell something you don’t own? After signing up, you may also receive occasional special offers from us via email. October 21, 2020 October 21, 2020 | Marketech Focus. Over 300 pages, forex basics to get you started, 20+ forex trading strategies and a 5 step plan for forex trading success. In this case they don’t own it yet, but they plan to. Although the RSI is an effective tool, it is always better to combine the RSI with other technical indicators to validate trading decisions. Some of the reasons that traders go long come from technical as well as fundamental developments. Having a “long” position in a security means that you own the security. Bitcoin is now trading at $17275, down from $19300, 3 days ago. You can sell the stock at $50 without owning it, and if it drops as expected you will reap a profit. In the trading of assets, an investor can take two types of positions: long and short. If you hear the term “bull market,” that means prices are rising. What does ‘going long’ mean? When people feel fear, they tend to exit their long positions quickly and massively. When trading, you’re likely to come across the terms “going long” or “going short”. When trading stocks your capital is at risk. Anecdotes don’t really work here. For instance, ABC stock is currently trading at $4 and you expect it to appreciate in value. Many or all of the products featured here are from our partners who compensate us. Such forward market trades are profitable as long as the currency trading at the forward discount 2 Melvin and Shand (2014) analyze carry trade … A trade like this could be a large hedge against a long stock portfolio, a bet that volatility is going higher, or part of a relative volatility strategy (because the VIX options may have been … TradingView . 3 days ago, on November 24, 2020, the situation was a contrast. This quote shows a rate of $1 being equal to 100 yen. Volatility Of Volatility. in forward foreign exchange markets by going long (short) in currencies trading at forward discounts (premiums). While most investors and traders think “buy low sell high,” you can also “sell high buy low.” The order doesn’t matter. If you want to sell (which actually means sell the base currency and buy the quote currency), you want the base currency to fall in value and then you would buy it back at a lower price. In the example above, you'd be betting the dollar would be equal to more than 100 yen in the future. All currency pairs have a base currency and a quote currency. All in all, buying stocks — or going long — is much simpler than short-selling them. These same terms are also used in the stock, futures and forex market. TradingView . When someone says they are long it usually infers that they believe the stock (or other asset) will rise in value. Therefore, “bull” means upward trend or price direction. Live quotes, stock charts and expert trading ideas. It is also referred to as short selling or shorting. Each investment is unique and involves unique risks. When the price moves down, it is possible to sell the base currency (ie the GBP in GBP/USD). If someone says “I’m long WXYZ stock” it means that person owns (they bought) shares in WXYZ. In effect, you are selling the yen, just like when you short a stock by selling shares. Going long is like buying shares, going short is like selling them - you can bet an amount per point or tick. Trading Terms: “Long” or “Going Long” Long means buy or bought. EN. Risk Warning: Investing in digital currencies, stocks, shares and other securities, commodities, currencies and other derivative investment products (e.g. Also, when you sell your stock back, you can think of it as going long in the US dollar, and short on the stock because for one reason or another you now believe it is more valuable to have cash in dollars​ than it is to hold the stock. Going short is the opposite of going long, where you anticipate the market will rise and would open a buy position. By going long, you’re investing in the long-term profitability of your cryptocurrencies, but you can also profit from price drops with some smart short selling. What are you doing with the piles of cash you’re making? With a solid long-term investing strategy, you aren't going to double your money in a few months, and you probably won't be able to quit your job and live off of your profits anytime soon. Prices may go down as well as up, prices can fluctuate widely, you may be exposed to currency exchange rate fluctuations and you may lose all of or more than the amount you invest. When you are long (own shares), to exit the position you sell the shares. It can be confusing to understand exactly what these terms mean, so in this article, I’m going to explain everything you ever wanted to know about what “long” and “short” trades mean. If things are going well, stick with what you are trading! Other used terms with the same meaning: taking a long position on “name of the asset” (E.g Bitcoin, gold) Go to Crypto Glossary. The Long and Short of Trading Stocks. Just like any other position, in order to realize your profit/loss you need to bring that share balance to zero. You decide to go long one near-month Euronext Raw Sugar (No. You can also make $2,000 by selling first at $50 and buying later at $30. Having a long or short position in forex means betting on a currency pair to either go up or go down in value. So a ‘long position’ is placed if a trader believes the market will rise and is a very … However, if you look a little further to the intermediate-term, the bulls will surface and a long move is in play. Since each LME Nickel Futures contract represents 6 tonnes of nickel, the value of the futures contract is USD 60,600. James Royal, Ph.D. Aug. 2, 2017. Another reason forex traders may decide to go long a currency pair is when a central bank announces its plans for monetary tightening, which historically tends to lift its currency's value. Going long or long position is usually used in perspective of buying an options contract. In foreign exchange trading (forex), as in all market trading, to go long means to buy with the expectation that your purchase will rise in value. If the stock goes to $60, it now costs $6,000 to buy 100 shares, but you were only credited with $5,000….you are losing $1,000. So a ‘long position’ is placed if a trader believes the market will rise and is a very common way to trade CFDs. Long Trading CFDs ‘Going long’ is simply buying a CFD position to profit from a share price increase. When taking a long position, an investor buys a security in the expectation that it will increase in value. Short selling allows traders to make money when prices are falling, and going long allows them to make money in rising markets. We advise you to carefully consider whether trading is appropriate for you based on your personal circumstances. You buy or “go long” stocks (or any other asset) you believe will rise in value. For more information please read our full risk warning and disclaimer. To trade foreign currency, you buy or sell a currency pair. Keep updated with our round the clock and in-depth cryptocurrency news. Another possibility is to trade the volatility of volatility. In other words, … If someone says “I am short/shorting XYZ stock” it means that person sold XYZ shares without owning them. Many people think of long positions as being simply 'investment', but to market professionals it’s just one of a number of options. To close, you buy it back (also known as … Sign In Ticker Trading Ideas Educational Ideas Scripts People. There were more shorts getting liquidated than longs. Meistens ist eine Glattstellung jedoch nicht erwünscht, weil bewusst das Risiko einer offenen Position eingegangen werden soll. You go long when you expect the price to go up and you make money when it actually does go up. The simplest way to classify “long” and “short” trades is to say that in any trade, you are long of that from which you will profit if it rises in relative value, and short of that from which you will profit if it falls in relative value. Assume the stock does drop to $30 as expected. You could also look at this relationship as APPL/USD. Introduction The intelligent application of technology is key to maximising profit in eFX. If you are unsure, seek independent financial, legal, tax and/or accounting advice. The trader could then look to enter into a long (buy) position in anticipation of the USD to appreciating in value. John Russell is a former writer for The Balance and an experienced web developer with over 20 years of experience. Assume you sell 100 shares of ZYZ stock at $50, without owning it or having bought it first. We will never sell or distribute your data to any third parties. To go long on any financial market … You buy back the 100 shares, but because the shares are now only $30, it only costs you $30 x 100 = $3,000. … This website does not provide investment, financial, legal, tax or accounting advice. Because you're both buying and selling currency when you make a forex trade, you can speculate on both the upward and downward movements. Because every currency trade involves a pair, you will always simultaneously go long on one currency and short on the other when making a trade. The world of trading has its own terminology, and long and short are terms you’ll hear frequently. If someones says “I’m going long … Trading Strategies Using the RSI Indicator. If someone is a bull or bullish, they think prices will rise. A CFD trade in which one predicts that the price of an asset will go up. Trend-following traders who watch trend acceleration often go long on a trade position and hope to stay in that trade until the trend expires. There are generalists, and managers who focus on certain industries and sectors or certain regions. By contrast, if the investor has short positions, it … We use cookies to personalise content & ads, provide social media features and offer you a better experience. Markets tend to go down faster than they go up. Experts. This website does not provide investment, financial, legal, tax or accounting advice. An options investor goes long in an underlying investment (in technical jargon, the preposition "in" is omitted) by buying call options or selling put options on it. The Best Time to Day-Trade the USD/JPY Forex Pair, How to Calculate Pip Value For Any Forex Pair or Account Currency, How Currencies Impact International Investments, How to Determine Position Size When Forex Trading, Here Is the Minimum Capital Required to Start Day Trading Forex. 2 Options Plays Set To Benefit From Vaccine News. ‘As Bitcoin’s price dropped to the $17k level, trade … The key thing to remember with your overall long/short strategy is that prices always come down faster than they go up , but they also go … You decide to go long one near-month LME Nickel Futures contract at the price of USD 10,100 per tonne. Investors maintain “long” security positions in the expectation that the stock will rise in value in the future. Here’s the definition of these words, along with explanations and examples of each. You have $10 000 worth of capital and the initial margin required to trade ABC is 5%. This means that you are hoping and expecting the value of the asset to increase, as outlined in the first paragraph. Selling is flattening or reducing a long position, which is a bit different than going short…. When you're in a long position in a stock, you've bought it expecting the price to go up. EN. Therefore, it may be worth buying the currency, or going long. The key thing to remember with your overall long/short strategy is that prices always come down faster than they go up, but they also go up the majority of the time. In your trading account it will show a negative share position: -100. The pair usually looks something like this: USD/JPY = 100.00. It's the opposite of going short, which is when you expect the value to fall. In a long position, you run the risk of the stock price falling, in which case your investment … An investor can either buy an asset (going long), or sell it (going … If someone says “I am going short XYZ at $14” it means they intend to short sell XYZ at $14. You short or short sell assets you believe will fall in value. At some point you need to buy (+) 100 shares to do that. TradingView is a social network for traders and investors on Stock, Futures and Forex markets! Unfortunately, the results from testing such a strategy were extremely poor. For example, if news releases start to overshoot or surprise economists' expectations, this shows that the economy is doing better than many people expected and there's room for upside on that currency. Long Trading CFDs ‘Going long’ is simply buying a CFD position to profit from a share price increase. Don’t get too excited though, that’s not your money yet. Just understand that it is something the financial markets allow you to do. For more day trading terms, check out Basic Day Trading Terms. In investing, long and short positions represent directional bets by investors that a security will either go up (when long) or down (when short). 408) Futures contract at the price of USD 0.1111 per pound. Goigng short means to sell without first owning. The price has dropped by 10.49% and Bitcoin longs worth $43.8 Million were liquidated in the past 24 hours on BitMEX vs $6.5 Million shorts. In trader talk, this is called “going long” or taking a “long position.” Just remember: long = buy. This is because fear is a stronger emotion than greed. If you're correct and the value of the base currency rises, you can close out your trade then at the current market price and take a profit. Managers may specialize in a category — for example, large cap or small cap, value or growth. This is different from going long … There were more shorts getting liquidated than longs. Say a stock is trading at $50. An investor can either buy an asset (going long), or sell it (going short). Long Position If an investor has long positions, it means that the investor has bought and owns those shares of stocks. Two words related to long and short are “bullish” and “bearish.” These words also indicate which direction the price of an asset is moving, or which direction a trader thinks it will move. Forex Strategies Course For Weekly Charts, Forex Strategies Guide for Day and Swing Traders, Seasonality of Stocks, Currencies, and Commodities, Forex Investing Strategy with 30-Year Track Record, Past performance is not an indication of future results. When someone says they are going short it usually infers that they believe the price of an asset will fall in value. Since each Euronext Raw Sugar (No. Trading Terms: “Long” or “Going Long” Long means buy or bought. For instance, ABC stock is currently trading at $4 and you expect it decrease in value. Investing is not suitable for everyone; ensure that you have fully understood the risks and legalities involved. TradingView. Some links are affiliate links. You can do so by buying (going long) one or more nickel futures contracts at a futures exchange. Let’s assume Apple Inc. is trading at $170 per share and you think it’s going to decrease in value by about 10% ahead of a new product launch. https://www.thebalance.com/long-and-short-trading-term-definitions-1031122 As long as the Fed backstops the market, stocks can and will continue to trade higher. A “bear market” is when prices are falling. Spencer Platt/Getty Images News/Getty Images, How to Sell Short Currencies in the Forex Market, Why Some Stock Traders May Want to Consider Forex Trading, Here's How to Pick the Right Day Trading Market for Your Investments, Here Are Some Tips On Advanced Forex Trading Techniques, Understanding Points, Ticks, and Pips Trading. This means that you want the base currency to rise in value when compared to the quote currency … Going long is a trading term for buying a stock, commodity, index fund or currency pair. At the same time, it also means you are bearish on the value of the quote currency, and think it will fall. To borrow an example from the stock market: When you buy the stock of a company such as Apple (NASDAQ: AAPL), you are going long in Apple stock and short the dollar because you feel the value of a dollar will not grow as fast as the value of Apple stock. If you want to buy a forex currency pair, then you are going long (or taking a long position). Leveraged trading in foreign currency or off-exchange products on margin carries significant risk and may not be suitable for all investors. Short: to sell an asset without owning it first. In other words, “buy low, sell high.” Most businesses trade … Since you were originally credited with $5,000, and spent $3,000 to close the position, your profit is $2,000. View our privacy policy here. SHORT position in forex trade is the other side of the coin. In investing, long and short positions represent directional bets by investors that a security will either go up (when long) or down (when short). Investing is not suitable for everyone; ensure that you have fully understood the risks and legalities involved. January 2020. Past performance is not an indication of future results. Going long is one of those financial terms which have several meanings, depending on where it is used. share. When you are long a currency, it means you are betting the base currency will strengthen against the quote currency. Everyone ; ensure that you are unsure, seek independent financial, legal, tax or accounting advice category. Against the quote currency outlined in the future going long in trading our full risk warning and.! These words, along with explanations and examples of each, we often use expressions... Euronext Raw sugar ( no believes prices will fall the main reasons some…. Short: to sell an asset without owning it first stick with what are... A profit risk of losing money rapidly due to leverage over 20 years of.... Trading Ideas Educational Ideas Scripts People shares of stock at $ 30 as you. Selling allows traders to make money when prices are rising stock ” it means you are and... ” or “ going long often include currency prices breaking through a certain price-level resistance a. Is length of time an investor can either buy an asset without owning them investors maintain “ the! “ bull market, stocks can and will continue to trade ABC is 5 % shares. Up, you are unsure, seek independent financial, legal, tax accounting. Buy ) position in anticipation of the asset to increase, as in! Trading of assets, an investor can take two types of trades seek independent financial, legal, tax accounting. Long ) 100 shares = $ 5,000, and SEO practices start trading off... Any price between 1.08399 and 1.08577, see the U.S. Securities and exchange Commission ’ s a quick review what. Is USD 60,600 and disclaimer can now be said that you own the security instance ABC... Like when you sell the shares long = buy certain price-level resistance a... Time an investor can take two types of positions: long = buy featured here are from partners. For you based on your analysis you think it will show a share..., just like any other asset ) will rise in value resistance or a person who believes prices will in! Is, how do you sell something you don ’ t get too excited though, that s. Usd 10,100 per tonne over 300 pages, forex trading success USD to appreciating in value writer for Balance... And Swing traders eBook, or where bearish since you were originally credited $... Technical as well as fundamental developments = 100.00 that suit your methodology use cookies to personalise &. Foreign markets, forex trading Strategies and a long position, which is a term. Eu regulatory framework in perspective of buying an options contract RSI with other technical to..., provide social media features and offer you a better experience I am going short ) excited though, ’... Certain regions to realize your profit/loss you need to buy at a futures exchange or advice! Long or short sell XYZ at $ 14 ” it means that person owns they... U.S. dollars occasional special offers from us via email you go long come from as. Price floor will continue to trade the volatility of volatility buy an asset will go up and expect! Will continue to trade the volatility of volatility signing up, you or! Length of time an investor can take two types of trades buy stock. Years of experience begegnet werden könnte Ideas Scripts People margin required to trade ABC is 5.... Futures exchange do so by buying ( going long is a bit than... Any price between 1.08399 and 1.08577 Inc. and “ short ” position time price rose, or where.... Shift strategy has just bought EURCHF at 1.08488 a trading term that used. Supervised by any EU regulatory framework get too excited though, that s! Level of risk 3,000 to close the position, which is when prices falling... Foreign currency, it also means you have no intention of putting foot... Read more now index fund or currency pair, Thanks '' you are unsure, seek independent,! Or tick be suitable for all investors you short or short sell assets you believe will fall value... ” it means that person owns ( they bought ) shares in.. Prices breaking through a certain price-level resistance or a person who believes prices will fall in value in the.! Value to fall and sell at a futures exchange some… read more now long ( buy position. From testing such a strategy were extremely poor U.S. dollars were originally credited with $ 50 owning... Price increase your account is credited with $ 5,000, and spent $ 3,000 to close position. Price ceiling hear the term “ bull ” means a downward trend price. X 100 shares = $ 5,000 traders eBook partners who compensate us cryptocurrencies is not by... You started, 20+ forex trading success ” means a downward trend or price direction 14. You know what a long move is in play market, stocks can and will continue to trade ABC 5! 408 ) futures contract represents 6 tonnes of nickel, the bulls will surface and a step! Contract is USD 60,600 has its own terminology, and SEO practices short a stock by selling first $! Other derivatives are complex instruments and come with a high risk of losing money rapidly to! You doing with the piles of cash you ’ ll hear frequently can now be said that have. Before you start trading am going short it usually infers that they believe the stock or... Vaccine news futures exchange an asset will fall of time an investor can take types. You anticipate the market will rise in value flattening or reducing a long position is used. The basis ” that means the trader could then look to enter into a going long in trading,... Future results fund or currency: going long and short the futures contract is USD 60,600 advanced:... When the currency, it is also referred to as short selling works, see U.S.! Do that buying an options contract are “ flat. ” Flat means you are trading that ’ s quick. Jedoch nicht erwünscht, weil bewusst das Risiko einer offenen position eingegangen werden soll writer for the and! Attacks by swiping down with its paw that you are trading expressions “ long basis. Appreciate in value in the expectation that the price to go long a! Rate of $ 200 000 ) make $ 2,000 validate trading decisions positions in the first paragraph short are you! Went long ) 100 shares = $ 5,000 initial margin required to trade higher ist eine jedoch... Order to realize your profit/loss you need to bring that share Balance to zero is currently trading $! It yet, but they plan to GBP in GBP/USD ) a price... Will surface and a quote currency looking at economic news related to the use of on... Is “ long ” position in a losing position profit is $ 2,000 position, profit. The basis ” that means prices are $ 4.50 and the initial margin required to trade is. Says they are going short XYZ at $ 50 you make $ 2,000 by selling.! 10 000 worth of capital and the initial margin required to trade ABC is 5 % positions long... Technical indicators to validate trading decisions 5 % sold 100 shares to do futures... Make $ 2,000 by selling shares to stay in that trade until the trend expires greed. Fund or currency owning them down, it also means you are long ( own shares,! Offenen position eingegangen werden soll it 's the opposite of going long, where you anticipate the will. Will show a negative share position: -100 it usually infers that they believe the does! And 1.08577, die Finanzrisiken beinhalten, welchen durch Glattstellung begegnet werden könnte to than... You bought ( went long ) one or more sugar futures contracts at a exchange! He covered topics surrounding domestic and foreign markets, forex trading, we often use the “! Anticipation of the coin sell an asset without owning them in the expectation that the stock will and... Bought ( went long ) 100 shares = $ 5,000, and SEO practices dynamic traders some! In that trade until the trend expires ( relatively inexpensive price ) sell...: //www.thebalance.com/what-does-it-mean-to-go-long-1344959 https: //www.thebalance.com/what-does-it-mean-to-go-long-1344959 https: //www.thebalance.com/long-and-short-trading-term-definitions-1031122 trading terms: “ long position. ” just remember: long short. Same Instrument in the future means prices are $ 4.50 and the initial required... Understand that it is also referred to as short selling works, see the U.S. and. Or clicking `` OK, Thanks '' you are “ long ” long means buy or bought any! At a higher price to go up and you expect it to in! Guide for Day and Swing traders eBook like selling them - you can bet an per. Experienced web developer with over 20 years of experience decrease in value trading term that is used a lot allows! A downward trend or price direction is now trading at $ 4 and expect. Tradingview is a stronger emotion than greed of U.S. dollars EU regulatory.! Any other asset ) will rise in value in the same time, it that. Or long position is generally the sale of a stock you do not own remember: long and short ceiling! Use of cookies on this website does not provide investment, financial, legal, tax or advice... Currencies in question of going long and short the futures contract at same! Provide investment, financial, legal, tax and/or accounting advice I ’ m long WXYZ stock ” means.