Monday, November 4, 2013

What is Spread betting ?

What is Spread betting ?

Spread betting is a method of trading increasingly popular in recent years . This is based on sports paris system, which was then transposed to the finance and economic markets. This system is currently a board in the UK but is still relatively unknown to the French public.

 Editor gives you detailed explanations on the new system , its advantages and disadvantages.
How does spread betting ?

Spread betting is a bet, a bet that will be a financial instrument , whether currencies, commodities , futures contracts or shares . For example, the CAC 40 index. If you think it will go up , you bet on the rise and if you think it will go down, you bet down. You also decide the value you want to assign to a drop point and increase put a euro. If the course is 3100 points such as when you raise your bet, and it increases to 3110 , so you win 10 euros.

In general , it is possible as in the Forex market, place stop loss and take profit to more finely control your paris . Brokers operating in this kind of trading method does reward that spread , and there are no hidden fees or commission on transactions .