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Dear all,
(My assumption Short sale is applicable only to intraday trading since we have to buy back on same day)
I have seen lot of people assuming that bearish trend means a short sale, they consider the concept of sell now and buy later when price got lower (but if im not wrong is we have to buy back on the same day for a short sale)
How is short sale applicable to a bearish trend (non-intraday) since we cannt expect to achieve our target in a single day? Please clarify.
Attaching a bearish trend for reference.
Short sale in Equity segment is limited to the same day. But Futures and Options contracts can enable traders to hold position till expiry of the contract, Hence this can be used to create position for more than a day. NSE creates position with 3 month expiry date.
Eg: INFY17JANFUT – Future contract Valid till the 25 Jan 2017. Both Long and Short can be held till 25 Jan 2017.
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