Get Into CFDs Strategy

The term CFD refers to a contract for difference. Trading CFDs allows you to speculate on the price of an instrument without really owning the asset. One of the most intriguing elements of CFDs is that you can earn from both rising and declining markets.

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What You Must Know
Before You Start Trading

1

The term CFD refers to a contract for difference. Trading CFDs allows you to speculate on the price of an instrument without really owning the asset. One of the most intriguing elements of CFDs is that you can earn from both rising and declining markets.

2

CFD trading is a type of financial derivative that allows you to bet on short-term price changes. CFD trading has several advantages, including the ability to trade on leverage and the ability to go short if you believe prices will fall or long if you believe prices will rise.

3

You don’t purchase or sell the underlying asset when you trade CFDs; instead, you buy or sell a number of units for a specific financial instrument based on whether you think prices will rise or fall. We’ve got you covered if you want to learn more about CFD trading or speak with an expert.

Follow the CFDs Prices in real time

Why is CFD trading superior to other markets

  • You don’t trade capital, you trade leverage;
  • You can turn a profit from a failing market;
  • Easy to get into, since it has similarities with standard trading;
  • Multiple asset classes;
  • Lesser tax at the end of the year;
  • A great use of your capital;
  • Margin trading.

Additional important information

  • You can go in with limited leverage;
  • Research is very important;
  • Only start when you have a strategy in place;
  • Never put all your apples in one basket;
  • Choose a renowned broker.
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RISK DECLARATION: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. You should not risk more than you are prepared to lose. Please ensure you fully understand the risks associated with the product and read our full risk disclosure statement.

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