short

instead of hearing from me what selling short means, u'd rather read this

now, if u want to know more, read on.

the stock markets are primarily for investors and not for traders.
investors buy based on fundamentals (gut feelings) and hold
traders buy and sell or sell and buy quickly.. for money

traders sell short when the market crashes.

if you still need a better understanding, think of the market as the email system:
transactions made by investors are like the mails that u write to people you know.
transactions by traders are the junk mail, the mails sent to mailing lists, and adverts all put together.
this resemblance is not just in the quality but also in the quantity.
the total value of transactions by traders is beginning to form a large part of the value pie.

observing these patterns in the market is very interesting when you try to interpret the psychology of the "market players".

in the recent past, i have read several postings in websites that advise people to avoid trading and taking fresh positions in the markets. some of these people also ask people to avoid trading, give calls to sell short and ask people to buy based on value.. all at the same time.
these are all people who said "happy trading" before signing their previous posts.

whatever happened to purpose and character.. :-/