CFD Trading Strategies

Trading CFDs is a relatively new activity gaining lots of interest among forex traders. CFDs are derivative products. Before entering into the trade, the trader must sign a contract between you and your CFD broker. The agreement allows the broker to pay the trader the opening position and the closing amount difference. CFD trading is a complex and highly leveraged product. However, it boosts your trading portfolio by investing minimal capital. Your work as the trader is to speculate on the market value of the price, while your broker does actual trading. One of the most attractive features of CFD Continue Reading →

How CFD Investors Profit from Currency Volatility

Contracts For Difference (CFD) is a method of trading where traders buy and sell assets without having to own the asset. CFDs work by opening up agreements with brokerages or other trading institutions and committing money to the contract. Here, you promise to buy or sell a particular asset at a specific price. To do this, you must pay something called a “margin,” which is essentially your down payment on the deal. The margin size will vary from brokerage to brokerage and can be as little as 5% of the total amount you’re putting in for your contract. Of course, Continue Reading →

Understanding Forex Crashes

The million-dollar question that’s always been on any potential investor or newbie trader’s mind is, can a Forex market crash? The answer to this question is both a yes and a no. Forex markets can’t crash entirely. However, there are some currencies that can crash. Forex market crashes do not happen the same way stock markets crash, affecting only specific currencies. For instance, there was a time when the Swiss franc was unpegged from the euro by the Swiss Central Bank. This resulted in the soaring of the franc, which saw other currencies being taken down. This is what is Continue Reading →

Mt4 Vs Mt5- The Best Time for Each Platform

There was a massive shift in traders’ view of the market after mt4 introduction in forex trading in 2005. Not only was analysis simplified, but a chunk of forex traders discovered forex trading so reliable that they invested heartily in it. A few years down the line, MetaQuotes created mt5. A chunk of traders initially questioned the need for another trading platform when most of them were pleased with mt4. Some years later, the traders realize the logic behind the mt5 invention. The more exciting part is that despite the continuous growth of mt5 in the market, majority of brokers Continue Reading →

Making Smart Investments Through Fundamental Analysis

Stock prices are subject to change almost every minute of the day, this is why investors need to be keen and observant of the various trends within the stock market. Every investor should spend time in some in-depth research and use their findings to forecast possible trends within the market. Fundamental analysis looks at various factors that impact future stock prices. It mainly focuses on measuring the intrinsic value of a share, as a way of evaluating securities. A lot of data has to be analysed to determine the value of the security. Some of this data includes financial statements, Continue Reading →