BEAR POSITION

A term usually use in trading that has the same meaning with the short position is called the bear position. In a bear position, a trader will try to earn in a market by speculating that prices will go down for a particular currency pair. When the price declines, the trader or investor will earn on the price change. When the price goes up, the investor or trader will lose his money. There are several ways to engage in a bear position such as buying inverse ETF’s or buying put options.