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- question about short selling stocks 3 answers
I started a couple months ago to learn more about the stock market and financial education in general, but this particular concept was hard to wrap my head around.
I understand there are bears and bulls behaviors in the stock market, but when I go and sell a stock, how can I sell it if I don't own any of that stock already?
I can understand if I go around the block, find someone selling shoes for 10$, I buy them, then I go two blocks down the street and find someone wanting shoes for 12$, I can make a profit by Selling to him.
But if I reach the guy that wants shoes, how can I "Sell" something I don't own yet?