So you would like to know how to make money when the stock market falls? Well it is possible and the act of doing so is called short selling.
Here is one tutorial video where the author explains short selling on social trading platform eToro.
By the way, if you are not familiar with social platform eToro, know that it is a very popular broker with millions of clients. There are several ways how to make money on eToro. Read more… eToro also alows you to copy other professional traders and make same profits as they do.
So basically, what is short selling?
When you buy a stock in a normal way you bet its price will go up. If it is the case and the price raises, you are making money. Short selling is exact opposite. Let´s say you short sell Apple stock. In this case you bet on a situation when the stock price falls. If Apple´s stock price falls you are making money.
Answer to your question how to make money when the stock market falls is really simple. If you anticipate that stock market overall or any particular stock will go down, just short sell. If you are right you will make money. If you are wrong you will loose your hard earned cash.
“All trading involves risk. Only risk capital you’re prepared to lose. Past performance does not guarantee future results.
This post is for educational purposes and should not be considered as investment advice”