I thought it would help to have a chapter that looked at some real trades I put on. I’ll go through why I put on each trade and what happened to it.
First, a look at my shorts. [Ladies may like to look away at this point. – Ed]
Shorting is just jargon for trying to make money from a share or an index as it goes down. You lose if it goes up.
It hit the headlines during the downturn of 2008-9 because the practice was blamed for markets supposedly falling further than they should. Which to me is mostly bunkum. Very few people actually short anyway. The authorities even banned shorts of banks for a while. It made no difference, as bank share prices continued to fall anyway!
Many people, especially new ...