WHAT IS CFD?

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CFD

CFD Trading

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CFD (Contracts for Difference) offers leveraged long/short trading on almost every financial instrument. It is an inexpensive trading option to trade the change of price in multiple commodity and equity markets, with leverage and immediate execution.

Forex broker offers a wide range of CFDs giving you access to commodity markets – such as Oil, Agriculture and Precious Metals – and worldwide equity markets indices – such as FTSE 100, Dow Jones 30, S&P 500 and Hong Kong Hang Seng Index.

COMMODITIES INDICES
Gold Nasdaq
Oil Dow Jones 30
Silver S&P 500
Sugar CAC 40
Corn DAX 30
Wheat FTSE
Soybean NIKKEI

Why trade CFDs ?

  • Product Diversity: forex broker offers CFD trading on the world’s leading stock indices, as well as on Oil, Gold and other Commodities. Such a diverse array of products allows you to easily gain exposure to different markets.
  • Low Margin Requirements: At forex broker you are able to trade CFDs with margins between 1% – 2% (which means leverage of up to 100:1). This enables you to enter bigger positions than you would be able to if you bought the actual underlying asset.
  • High Liquidity: All forex broker CFDs offer competitive spreads with bid/ask quotes that are filled on the spot – without delay.
  • Lot Size: CFD trading enables you to trade in small and odd size lots. Normally, this is not possible when dealing with the underlying asset itself.
  • No Commission: forex broker offers commission-free CFD trading. Furthermore, forex broker offers free intra-day trading – positions that are opened and closed on the same day incur no costs whatsoever.
  • Ability to trade „Long” or „Short”: With CFD Trading, you can use CFD to go “short” (when you believe markets will fall) as easily as to go „long” (when you expect prices to be on the rise).

To learn more about how market movement can potentially influence your CFD trading activities, please visit the CFD Trading Examples page.