Hi! I’m Vance Alm and I’m the creator of highfinancethoughts.com and I wanted to make a video going over some popular investing terms and phrases. Check out my website highfinancethoughts.com where I’m constantly posting blogs about stocks, cryptocurrencies, and everything related to investing and finance.
Short Selling: an advanced investment strategy that speculates on the decline in a stock’s price. Short selling is started when the investor opens a position by borrowing shares of a stock that they believe will decrease in value. The investor then sells these borrowed shares to buyers who are willing to pay the market value for the stock. The trader is betting that the stock price will continue to decline, and they can purchase the shares at a lower cost when the time comes to pay back the shares that were borrowed. Short selling can generate profits but it can also cause potentially limitless losses if the prices sky rockets (like it did with GameStop and AMC).
Diamond Hands: investors who are ready to hold a position until their end goal is reached, despite potential risks and losses.
Paper Hands: investors that sell early due to negative news or the pressure of the situation.
HODL: “Hold On for Dear Life”, derived from misspelling the word “hold” as in a buy-and-hold strategy.
Bag Holder: someone who purchased when a stock or cryptocurrency’s price was high and holds the stock or crypto that has fallen in value and keeps holding, believing the price will recover.
Tendies: derived from chicken tenders, it means profits or gains.
To the Moon: phrase used to express confidence in the performance of a chosen stock or cryptocurrency.
Bull Market: a financial market that is on the rise and where the conditions of the economy are overall favorable. Bull markets generally see a sustained increase in stock prices.
Bear Market: a financial market that exists in an economy that is receding and where most stocks are declining in value.
Don’t forget to follow me on Twitter @VanceAlm and check out my website highfinancethoughts.com to learn more about investing and finances.