N00b questions: how do you sell a currency you don't own?

Beginner Questions
1

I’m having trouble understanding some of the basics of FOREX theory. Suppose that you own nothing other than the US dollars in your trading account, and you decide to short the EUR/JPY pair. How can you sell EUR if you don’t already own it? Wouldn’t you have to first sell USD for EUR before you can sell EUR for JPY?

Any help would be appreciated. Thanks in advance.

2

http://forums.babypips.com/newbie-island/43209-what-does-mean-trade-foreign-currency-2.html#post325797

3

through the spot forex of course. heee hee

4

take a look at the link that yunny1 posted, that should answer it for you, don’t worry if you have any question just go ahead and post it! there are a lot of traders who are more than willing to help :slight_smile: