New To TradeZero International: Shorting Stocks Under $1

March 6, 2025

Discover how you can start shorting stocks under $1 with our new trading feature. Explore the benefits and how to get started today!

Introduction

In the ever-evolving world of trading, flexibility and innovative tools are keys to unlocking potential. We're excited to announce our latest new feature that allows traders to short stocks priced under $1, providing you with an opportunity to leverage market movements even with smaller investments.

What is Short Selling?

Short selling is a trading strategy that involves selling a stock that the trader does not own, with the intention of buying it back later at a lower price. This technique is often used to capitalize on anticipated market declines and is a popular strategy among experienced traders.

Why Short Stocks Under $1?

Shorting stocks under $1 presents several advantages:

  • Low Entry Barrier: Engage in the stock market without a significant upfront investment.
  • Potential Returns: Benefit from volatility in lower-priced stocks.
  • Diversification: Add another layer of strategy to your trading portfolio.

Key Requirement: $2.50 Per Share Margin

Before shorting stocks under $1, ensure you meet the $2.50 per share margin requirement. This means that for every share you short, you must have at least $2.50 in margin available in your account.

Example:

If you short 1,000 shares of a stock priced at $0.80, you need $2,500 in margin (1,000 × $2.50), not $800 (1,000 × $0.80).

This requirement helps limit risk, as low-priced stocks tend to be highly volatile.

How to Start Shorting Stocks Under $1 with TradeZero

Getting started with shorting stocks under $1 is simple:

  1. Open a Trading Account: Open and fund an account with us today.
  2. Research Your Options: Use our tools to find stocks under $1.
  3. Execute Trades Responsibly: Always consider the risks and have a clear strategy.

Risks and Considerations

While short selling offers great potential, it's important to understand the risks:

  • Market Volatility: Stocks under $1 can be highly volatile.

Our new feature is designed to empower traders like you by providing more avenues to engage with the market. Whether you're looking to expand your trading strategies or just starting out, shorting stocks under $1 could be a valuable addition to your trading toolkit.

Start Your Journey Today

Ready to dive into micro-cap trading with minimal upfront investment? Sign up today and explore the exciting opportunities with shorting stocks under $1.