CFD History
- In 1970s, equity swap market first appeared;
- In 1980s, became a tool for institutions to hedge securities risk;
- In 1990s, retail exchange market was starting to emerge;
- In 2000, UK launched share CFDs;
- In 2019, 25% of the total amount invested in the London Stock Exchange;
Now, CFDs are very popular all over the world nowadays and have covered many products such as stock, commodity, cryptocurrency and Forex.
CFD Characteristics
Determine the price trends, a simply trading method
Analyze product price changes and profit when you're insightful.
Leveraged trading, amplify trading performance
Trade with 1% of the asset's value, multiply the profit opportunities to 100x.
Trading Advantage
Bi-directional trading, more trading opportunities
Profit in both bullish markets (Prices rise) and bearish markets (Prices fall).
24-hour trading, flexible trading hours
The CFD market crosses different time zones around the world and can be traded at any time.
Long Position Profit Model
Formula:
(Closing Price - Opening Price) × Contract Size × Trading Lot
Example (Spot Gold):
The contract size is 100, opening price 1800, closing price 1850, trade with 0.1 lot, and the profit is $500.
Short Position Profit Model
Formula:
(Opening Price - Closing Price) × Contract Size × Trading Lot
Example (Spot Gold):
The contract size is 100, opening price 2000, closing price 1900, trade with 0.1 lot, and the profit is $1000.
Risk Management
Investment losses are often caused by two factors in financial markets:
1. Hoping to fluke after misjudgement and fail to stop loss in time.
Suggestion: Use the app automatic stop loss and stop loss monitor feature well.
2. A single traded position is too large, and the affordability cannot be fully considered.
Suggestion: Arrange the trading lot reasonably, with a minimum of 0.01 lot.
Investment Cost
The investment cost is only one-tenth of the stock (Stamp Duty FREE), including the following two components:
1. Spread: the spread between long buying price and short selling price.
Example (Spot Gold):
$1800.30 (Long Buying Price) - 1800.00 (Short Selling Price) = $0.30 (Spread)
2. Overnight Interest: This is the financing cost of using leverage, free overnight interest on intraday trading.
Trade 0.1 lot of gold and 1 day overnight interest as low as $0.30.
Trade CFD in 3 Simple steps
1. Register
Through Mobile, E-mail, Google, Apple, Facebook.
2. Deposit
Simply deposit local currency and it will be automatically converted to USD.
3. Start Trading
Invest in global assets with master trader in our community.
Worldwide Trusted Trading Platform
Extremely Low Trading Costs
0% trading commission ad competitive spreads.Multiple Leverage Options
Leverage up to 1000xSocial Trading
Gathering elite trading master and share the community wisdom.Capital Security Guaranteed
Authoritative financial institution regulation, strict segregation of investor funds.Negative Account Balance Protection
Losses will not exceed the principal amount to enhance risk management capabilities.24/7 Customer Service Support
12 languages are always available for investors to solve their problems.
Bonus rebate to help investors grow in the trading world!