Spread Betting Strategies for New Traders: By The Spread Bettor
LONDON, March 30, 2012 /PRNewswire/ –
Spread betting [http://www.cityindex.co.uk/spread-betting ] offers a fantastic entry
level into a range of markets for new traders – and I should know, I myself was a new
trader not so long ago.
When I started trading with a City Index spread betting account, my confidence and
knowledge was low (you’ll find, especially as you begin trading, that these two can
sometimes go hand-in-hand). However, they offer a wide selection of trading education
tools and resources, from in-house seminars at their London office, to webinars that I
could fit around work.
On that note, I – like many new traders – work full time and spread betting is a part
time hobby. Which leads me to my next point; the City Index mobile apps allow me to trade
on the go from wherever I am, and whenever I want, with full and secure access to my
account and their professional trading platform.
At this early stage, you’re going to require some guidance; where to go, how to go and
what to do. Well, to start, we’re going to cover your trading strategy.
To give you an idea of how important a trading strategy is – it is highly recommended
by experienced traders to never place a single trade, until you have one in place.
A trading strategy offers you guidelines and goals to trade by, making sure to avoid
impulse trades or let emotions take over (which can often happen when a market moves in
Joshua Raymond, Chief Market Strategist at City Index commented: “One common mistake I
find from spread bettors is that they can go into a position without having a clearly
defined profit or loss strategy.
“This can make trading very difficult and leave spread bettors open to what I call
‘impulse trades’ where they may enter or close a trade prematurely.”
He adds that before a trade, having a defined trading strategy
[http://www.cityindex.co.uk/learn-to-trade ] and risk management plan is an ‘important step
for beginners, [in order] to understand the market that they trade’.
As you start researching more, you’ll start to hear about various types of ‘orders’.
To summarise, these orders are risk management tools to help you limit your losses.
Stop loss orders stops your losses at predetermined levels set by you through your
trading strategy, with the aim to reduce your risk.
First, you must consider how much you are willing to lose before you place your spread
Spread betting with City Index [http://www.cityindex.co.uk/spread-betting ] has opened
up a world of opportunities for myself and other traders choosing to trade with them.
From trading on the move with mobile apps; a professional trading platform with a
suite of trading tools; and extensive trading education tools to help me learn to trade
and continue to evolve as a trader.
The Spread Bettor
Spread betting and CFD trading are leveraged products which can result in losses
greater than your initial deposit. Ensure you fully understand the risks.
About City Index:
Today more and more individual traders are discovering the benefits of derivatives,
and many of them are discovering them through a City Index trading platform.
As a group, we transact in excess of 1.5 million trades every month in over 50
countries. We provide access to a wide range of instruments including margined foreign
exchange, CFDs and, in the UK, financial spread betting
We constantly look to improve the performance of our platforms and expand our range of
services. The result is our customers benefit from innovative trading tools with
transparent pricing, competitive spreads, and a high standard of customer support. Visit
http://www.cityindex.co.uk for details.
SOURCE City Index