Excerpt from: Understanding Spread Betting
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| December 12, 2007 | | Cashing in on your spread bets | When placing spread bets, one strategy is taking profits. This is when you end a contract early in order to cash in on what you have gained in a spread bet. For example:
If you have a two month buy contract on an instrument, but after one month you feel that it will fall back because it has risen so high, you can place a one month sell bet to "end" your two month contract early.
This can be helpful if you worry that things will change for your position. If you are wrong, you don't lose anything, even though you might have made more.
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