Long (or Long Position)

Definition of 'Long (or Long Position)'


1. The buying of a security such as a stock, commodity or currency, with the expectation that the asset will rise in value.

2. In the context of options, the buying of an options contract.

Opposite of "short" (or short position).

Investopedia explains 'Long (or Long Position)'


1. For example, an owner of shares in McDonald's Corp. is said to be "long McDonald's" or "has a long position in McDonald's."

2. For example, buying a call (or put) options contract from an options writer entitles you the right, not the obligation to buy (or sell) a specific commodity or asset for a specified amount at a specified date.


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