underestimate the real value or ability of; "Don't sell your students short--they are just shy and don't show off their knowledge"
The act of selling a borrowed stock with the understanding that you'll buy it back later (hopefully at a lower price) and return it.
Selling a stock not owned in the hope that the price will go down. The seller must indicate that the sale is a short sale when the order is entered. This is used for stock only, and can only be done in a margin account. If available, the stock may be borrowed from a brokerage firm for delivery to the buyer and must be bought back at a future date. The firm reserves the right to call the security back at any time. Short sales require the equity be deposited in a margin account to ensure that the stock can be repurchased even if the price goes up.
Indicate a "sell short" order when you want to borrow stock and sell it, with the understanding that you must buy it back later (hopefully at a lower price) and return it.
