Glossary

Long position

Buying in expectation that price will rise. Profit comes from selling above the purchase price.

A long position means actually buying the asset in the spot market, and in derivative markets it means buying a contract that profits from a rise. "Going long" and "opening a long" mean the same thing in everyday speech.

Its opposite is the short position. The basis of managing both is the same: entry, stop and target are set in advance.

Related terms

Where it appears in the guides

Guides whose text uses this term; most frequent first.