What's Stock Sell Short and Buy Long?

In stock trading, there are two different types of stock trades, these two types are:

• Long (buy) - long is if the stock trend is buy/bullish - going long means opening a buy trade.
• Short (sell) - short is if the stock trend is sell/bearish - going short means opening a sell trade.

Buying/Long in Stocks Trading vs Selling/Short in Stocks Trading

Both terms Buy/Long and Sell/short in Stock Trading, refer to things that stock traders do when they open a stock trade.

Buying Long - stock trading term is used when buying - when opening a buy stock trade.

Selling short - stock trading is used when selling - when opening a stock sell trade.

Long - Going Long is another term used to refer to buying in stock trading, If a trader goes long it means that the trader buys the stock instrument that is heading in an upward trend direction. When the stocks price is moving in an upward stock trend the trend is referred to as bullish stocks trend.

Short - Going Short is a term used to refer to selling of a stock instrument that is going in a downward trend direction. When the stocks price is going downwards then it is referred to as a bearish stocks trend.

What it means is that the term, "selling short" can be used to refer to selling in the stocks markets. Selling short is used to trade a stock instrument that is predicted to depreciate in value - meaning that the stocks price will likely head downwards for the stock instrument, when this stock is sold then it is the same as not holding value in this stock instrument but holding the same value in another form against which this stock is traded against - mostly US Dollars.

Buy/Long

If the stocks price is going up stock traders will buy Stocks, this is referred to as going long - Therefore long is just another name for buy. When the stocks market trend is going up it is referred to as a bullish trend & this is when a stock buy trade is placed by a stock trader. A bullish stock trend is identified by drawing an upward stock trendline on a stocks chart. The example illustrated and explained below shows a long/buy stock signal.

Buy/Long - Buy/Long Bullish Stock Trend - How to Open a Stock Trading Buy Order

Sell/Short

If the stocks price is going down we sell Stocks, this is referred to as going short. When the stocks market trend is going down it is referred to as a bearish stocks trend. The example illustrated and explained below shows a downward stock trend, this is when a short sell trade is placed. The short/sell bearish trend is identified by drawing a downward stock trendline on a stocks chart. The example illustrated and explained below shows a short/sell stock signal.

Sell/Short - Stock Trading Sell Trade - How to Open a Stock Trading Sell Trade Order

Stocks Charts

A stock chart provides a visual representation of stock prices (drawn on the y-axis) against time (drawn on the x-axis) for stock. The movement of stock prices is drawn on these stock charts. The stock chart can be drawn as candlestick stock charts like the ones shown below or as line stock charts or as bar stock charts.

Stock Chart - Candlesticks Stocks Charts - Stock Trading Candlesticks Chart

The three most commonly used types of stock charts used in stock trading are:

• Candlesticks Stock Charts
• Line Stocks Charts
• Bar Stock Charts

These 3 different types of Stock Charts are covered in the topic Stock Chart Types.

Stocks Trading Software

This is the stock trading software that is provided by a broker to help stock traders place their stocks trades. Once you download and install this stock trading software platform on your computer you can then begin to trade stock in the Stock Trading market/b>. All stock trading trades are executed through this stock trading platform. If you want to learn about stock trading platforms, MT4 Stock Trading Platform is a good stock trading platform to start with. Stock traders can also us mobile phone stock trading apps to place these stocks trades.

To set these stock orders you as the trader will open the MetaTrader 4 Stocks Trading Software, open a "stock chart", right click on the "stock chart", choose "New Order" button, then select the stocks order - either sell or buy as shown below. (Keyboard Short Cut Keys - Press F9 Key)

Setting Buy Long Stock Trades and Sell Short Stock Trades on MT4 Platform