What are Long and Short positions and how to make money even in falling markets/profit from stocks decline: A complete guide for beginners

What are Long and Short positions and how to make money even in falling markets: A complete guide for beginners

When an economic crisis or a correction comes, most businesses and companies fail. It will probably be difficult for you to get rich during a period of crisis if almost half of the economy is bankrupt or stagnant. But on the stock market, you can also make money from a slump with a special mechanism called by shorting shares – that is, the more the share or entire markets (ETFs/Indices) fall, the more you earn . At the same time, you can have long and short positions open and use those short positions to cover against losses ( hedging ). In this article, we will simply explain: What are Long and Short positions, what is a Short and Long position and how to make money from the rise and fall of commodity share prices such as oil, gas, gold, wheat, sugar, etc. cryptocurrencies , forex currencies, indices, etc. We will talk about How to make money in falling markets, We will explain the use of derivatives, Options and futures , Put options

What are Inverse ETFs and how to use them, for example, in countries where shorting of shares is prohibited, Advantages of Long positions, Risks and advantages of Long and Short positions. We will also explain the basics of how to protect yourself from risks and what diversification and hedging are .

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