How to Short Penny Stocks [Infographic]

Short selling is an investing strategy that involves borrowing shares from a broker and selling them for a profit. If an investor speculates that a security price will drop, taking a short position can be profitable. There are distinct patterns that identify these opportunities. Do you know how to turn these into profits?

I created this infographic as an introduction to short selling penny stocks since betting against worthless or near worthless companies at inflated prices has made my top trading challenge students and I millionaires. Click the image below to view.

Download a PDF version of this post.

How to Short Penny Stocks Infographic


You can in fact make money off of shares you don’t actually own. Short selling a stock that you believe will drop in price has risk, but if you look closely and learn to identify the trends and recognize the pump, huge opportunity exists in shorting penny stocks.

Posted in Infographics

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Timothy Sykes

Hey Everyone,

As many of you already know I grew up in a middle class family and didn't have many luxuries. But through trading I was able to change my circumstances --not just for me -- but for my parents as well. I now want to help you and thousands of other people from all around the world achieve similar results!

Which is why I've launched my millionaire challenge. I’m extremely determined to create a millionaire trader out of one my students and hopefully it will be you.

So when you get a chance make sure you check it out.

PS: Don't forget to check out my free Penny Stock Guide, it will teach you everything you need to know about trading. :)

  1. John Wayne

    Not recommended to hold overnight. You are paying to hold onto those shares.
    You need to watch more videos and then answer that question yourself.
    If the market rebounds next day you could lose your shirt.

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