Short position
A short position is a trade that profits when price falls. You sell first and buy back later, so to close a short you must buy, whatever the price has done.
Sell 10 Intel shares at 127 and buy them back at 107, and the short made 20 per share, 200 in total. Because price has no upper limit, a short’s loss has no ceiling in theory, which is why a short needs a stop from the start. You can sell what you do not own by borrowing it or by trading a futures contract.
The opposite is a long position.
Learn more: long and short positions and short selling explained.