
shorts
Shorts, or short selling, is a financial strategy where an investor borrows shares of a stock they believe will decline in value. They then sell these borrowed shares on the market. If the stock's price drops as expected, the investor buys the same number of shares at a lower price to return to the lender, profiting from the difference. However, if the stock price rises, the investor faces potential losses since they must buy back the shares at a higher cost. Short selling is a way to profit from declining markets but involves significant risk.