What is a CFD?
CFD is short for contract for difference. With a CFD, you trade on the price development of the underlying asset. The profit or loss is calculated by determining the difference in position price at opening and closing. The more the underlying asset moved in the anticipated direction, the higher the profit.
Why is CFD trading so popular?
CFDs have the advantage that you can move large amounts of trading with a minimal investment and make a profit from even small price movements. No other financial product gives traders the freedom to implement their individual trading strategies better than CFDs.
How do I place my first CFD trade?
As soon as you have created an account with BDSwiss, chosen your trading platform (MetaTrader4) and have an available account balance, you can place your first trade in just a few easy steps:
Open the order window by clicking on “New Order” in the tool bar. Alternatively, you can open a new order window by pressing the F9 key.
1. Asset (Symbol)
Decide which underlying asset you’d like to trade. You can choose from four different categories: currency pairs, commodities, indices and treasuries.
Choose you trading volume by selecting the number of standard contracts (Lots) you wish to trade.
3. OPTIONAL: Stop-Loss & Take-Profit
Use the Stop-Loss or Take-Profit to automatically close trades once a specific price level has been reached.
4. OPTIONAL: Type
Choose if the trade should be executed immediately or at a specific price level.
5. OPTIONAL: Price tolerance (maximum deviation)
Allow for a maximum deviation from the current price so that you are not surprised by price jumps.
6. Sell or Buy
Now you simply need to select the direction in which you think the price of the underlying asset will move. Select Sell when you think the price will fall or Buy when you think the price will rise.
Good luck with your first CFD trade!Trade Now