CFD trading
Start derivative trading that gives you the opportunity to navigate through the uprising and down falling markets.
CFD trading
Start derivative trading that gives you the opportunity to navigate through the uprising and down falling markets.
Leverage Your Trades, Amplify Your Potential with CFD Trading
CFD trading is an arrangement made in financial derivatives trading where the differences in the settlement between the open and closing trade prices are cash-settled. Make CFD trading your principle source trading with amplified access to global markets along with a healthy CFD trading platform for your CFD trading process to become hassle-free.
Cost savings
Global Market Accessibility
Hedging Opportunities
CFD trading is an arrangement made in financial derivatives trading where the differences in the settlement between the open and closing trade prices are cash-settled. Make CFD trading your principle source trading with amplified access to global markets along with a healthy CFD trading platform for your CFD trading process to become hassle-free.
Cost savings
Accessible to Global Market
Hedging Opportunities
What is a CFD?
The term “Contract for Difference” (CFD) refers to an agreement between a trader and their broker. The “contract” sets out that one of the two parties will pay the other, depending on which direction the price of an asset moves. The amount of the cash settlement is calculated using the “difference” between the price at the open and close of the trade. CFD trading is a method of trading the value of an underlying asset, rather than the asset itself. The “derivative” nature of CFDs makes them highly versatile and has resulted in the market, first developed in the 1990s, growing to be worth billions of dollars.
Why trade CFDs?
Not owning the underlying asset can enable traders to utilize some interesting functional features. CFD Market Coverage CFDs can be used to trade a wide range of asset groups, such as stocks, indices, CFD and commodities. For investors seeking a more convenient and possibly economical method of trading various asset classes, this may create new markets. Booking a transaction will follow the same procedure regardless of the market you are targeting. Short selling CFDs CFD trading allows you to "sell" a market that you believe is overvalued.Instead than being forced to follow the traditional "buy-and-hold" approach, investors can use "short selling" to profit from any market movement, up or down. When placing short bets, stop-losses can help limit risk and minimize losses. Leveraged trading with CFDs Leverage allows you to enhance the size of your investment as well as the risk-return ratio. Leverage trading involves contributing only a percentage of the overall cost of purchasing a position by using funds in your brokerage account as a deposit, or "margin." Potential gains or losses when trading with leverage are calculated by taking into account the total size of your position, not simply the margin.
How do you trade a CFD?
Traditional investing typically entails a basic strategy: "buy low, sell high." CFD trading follows the same trend, but investors can also employ an alternative strategy to profit from market movements: "sell high, buy low." If you buy a CFD in Apple Inc stock and the price rises, your broker will credit your account in line with the price move. If the price falls, you’ll record a loss, and your broker will debit your account the appropriate amount of cash. When you sell short, rather than go long on a CFD position, you will profit if the price of the underlying asset falls. Regardless of the asset type being traded, the methodology for calculating profit and loss on a CFD trade remains the same. Whether your CFD is in gold, GBPUSD, or the NASDAQ 100 Index, you will not own the underlying asset and will instead speculate on how its price will change.
Is CFD trading right for me?
Trading CFDs may be suitable for you if you wish to trade rising or falling markets and open a position on leverage. However, CFD trading is dangerous, and you may incur a loss bigger than your initial deposit. We provide a free demo account to any traders who wish to practice their trades before registering a real account.