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The stock market is the community of individuals and corporations engaged in the buying and selling of shares of companies, called stocks, on the open market. Shares of stock are traded on a stock exchange and are tracked on indices such as the New York Stock Exchange and the Nasdaq.
2
votes
Can shorting stocks from holdings make money?
No, you didn't make any money from the drop. You started off with +5 AAPL. Selling the 5 shares prior to the drop left you with no position. You never had a short position at any point in time.
20
votes
How did this day trader lose so much?
He didn't sell in the "normal" way that most people think of when they hear the term "sell." He engaged in a (perfectly legitimate) technique known as short selling, in which he borrows shares from hi …