furniture explained it well, but as you're new, and keen, I'll give you a real life example.
Buy 300,000 shares in stock QWE @ $0.024 for $7,200
Sell 170,000 shares in stock QWE @ $0.046 for $7,820
Profit of $620, minus brokers fee X 2 will leave a profit of around $580. You can also increase/decrease the cash component to suit your needs.
The remaining 130,000 shares are now 'FREE CARRIED".
Definitely my goal, if not every traders, to be in that position.
$$$ and cents wise, it means that if the price fell to $0.001 and you couldn't sell them, or the company went under, YOU can't lose any money as they 'cost' you NOTHING, "free carried".
Have fun, it's not ALL serious, for me at least. Think carefully about your trades, and do well.
MYA Price at posting:
2.2¢ Sentiment: Buy Disclosure: Held
