Intermediate → Expert
Shorting and locate concepts
Borrowing shares to sell high / buy back later — and why locate exists. Education only — not a recommendation to buy, sell, or hold anything.
Short sale mechanics (lite)
You borrow shares, sell them, hope to repurchase lower later. If price rises, losses can grow without a fixed ceiling in theory — see unlimited-loss concept.
Locate / borrow
- Brokers generally need to locate shares available to borrow.
- Hard-to-borrow names can mean high fees or refusals.
Buy-ins and recalls (idea)
Borrowed inventory can be recalled. Shorts are not “set and forget” structurally.
Lab reminder
Practice conceptual shorts only with fake money. Read the unlimited-loss lesson.
Practice tip: Short selling & unlimited loss · fake practice on /mock/.