...By shorting you have infinite loss potential because price can infinitely go up while long could only give you 100% drawdown... I understood what you wanted to write about, even though you stated your thought incorrectly. This means that when opening a long, the profit can increase indefinitely, while the short is limited to a 100% loss. Did I understand you correctly? No, short could give infinite loss potential because the price can go up infinitely. If you shorted an asset at $1 for you to make profit the asset need to go below $1 and the maximum profit you can get is when the price becomes 0 which is 100%. But the potential loss for shorting can be infinite theoretically because an asset could go way past $1 infinitely e.g $10, $100, $1000, $10000. That's why trading firm sometime limit exposure to short or never short at all. When you are creating a long you can get infinite profit potential because price can theoretically go infinitely up while you could only lose 100% because whatever the price you entried at, be it $1 or $100000 when it goes to 0 it have 100% drawdown because there is no such thing as negative price.
...By shorting you have infinite loss potential because price can infinitely go up while long could only give you 100% drawdown... I understood what you wanted to write about, even though you stated your thought incorrectly. This means that when opening a long, the profit can increase indefinitely, while the short is limited to a 100% loss. Did I understand you correctly? No, short could give infinite loss potential because the price can go up infinitely. If you shorted an asset at $1 for you to make profit the asset need to go below $1 and the maximum profit you can get is when the price becomes 0 which is 100%. But the potential loss for shorting can be infinite theoretically because an asset could go way past $1 infinitely e.g $10, $100, $1000, $10000. That's why trading firm sometime limit exposure to short or never short at all. When you are creating a long you can get infinite profit potential because price can theoretically go infinitely up while you could only lose 100% because whatever the price you entried at, be it $1 or $100000 when it goes to 0 it have 100% drawdown because there is no such thing as negative price.

...By shorting you have infinite loss potential because price can infinitely go up while long could only give you 100% drawdown... I understood what you wanted to write about, even though you stated your thought incorrectly. This means that when opening a long, the profit can increase indefinitely, while the short is limited to a 100% loss. Did I understand you correctly? No, short could give infinite loss potential because the price can go up infinitely. If you shorted an asset at $1 for you to make profit the asset need to go below $1 and the maximum profit you can get is when the price becomes 0 which is 100%. But the potential loss for shorting can be infinite theoretically because an asset could go way past $1 infinitely e.g $10, $100, $1000, $10000. That's why trading firm sometime limit exposure to short or never short at all. When you are creating a long you can get infinite profit potential because price can theoretically go infinitely up while you could only lose 100% because whatever the price you entried at, be it $1 or $100000 when it goes to 0 it have 100% drawdown because there is no such thing as negative price.

...By shorting you have infinite loss potential because price can infinitely go up while long could only give you 100% drawdown... I understood what you wanted to write about, even though you stated your thought incorrectly. This means that when opening a long, the profit can increase indefinitely, while the short is limited to a 100% loss. Did I understand you correctly? No, short could give infinite loss potential because the price can go up infinitely. If you shorted an asset at $1 for you to make profit the asset need to go below $1 and the maximum profit you can get is when the price becomes 0 which is 100%. But the potential loss for shorting can be infinite theoretically because an asset could go way past $1 infinitely e.g $10, $100, $1000, $10000. That's why trading firm sometime limit exposure to short or never short at all. When you are creating a long you can get infinite profit potential because price can theoretically go infinitely up while you could only lose 100% because whatever the price you entried at, be it $1 or $100000 when it goes to 0 it have 100% drawdown because there is no such thing as negative price.