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June 27, 2011

Going Short on CFDs

One of the benefits of trading CFDs (Contracts for Difference) is that you can go small (sell with the hope that the value of your contracts will fall) as well as go extended (acquire with the hope that that the value of your investment will go up). However, trading CFDs gives you the ability to trade financial instruments without owning them. So how can you sell something that you don’t own?
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