If you are into any type of commodity or forex trading, you must understand the importance of having the right kind of information and knowledge. However, as a fresher it is quite likely that you will not have all the relevant information available in one source. In other words it would indeed be great if you could get access to the ultimate cheat on spread betting which could teach you everything from start to end.
Though expecting each and every bit of information in a single place could be a utopian dream, here a few points which should be enough for you to get started. If you can come across a source of information where the following information is available you would be on the right track as far as your spread betting learning process is concerned.
Look For Information On Margins & Spreads
Unless you have a decent about the width in points as far as spreads on various currencies and commodities are concerned, you will not be able to make the right start. With competition being what it is the width is narrowing down quite significantly and therefore you must know the exact width to choose as far as buying and selling are concerned.
Understand The Various Types Of Spread Bets
If you look at the website of reputed service providers like CMC Markets they will certainly place a lot of emphasis and importance on different types of spread bets that one can possible put their money in. The secret lies in trying to be in as many geographical locations as possible and also being present in as many market types as you possibly can. With technology being what it is, traders can use a single platform to trade across various geographic locations.
Betting On Commodities
Commodity betting is quite old and it could have been around for many decades or perhaps even centuries. If you wish to engage in serious spread betting, then you must know the right information about various commodities like crude oil, precious metals, steel, iron ore and copper. It is possible to bet on these products for the entire trading day and this helps in making it convenient and perhaps even predictable to an extent.
Betting On Forex
This is perhaps one of the most popular trading tools which are available with almost all service providers. You will be making money from the buy rate and the sell rate. It is a highly volatile but at the same time a highly liquid market and getting in and getting out is quite easy. These bets are available round the clock and are open six days a week. Hence it is possible to trade at a time convenient to you.
Betting On Indexes
Betting on indexes also is becoming quite popular. This is because it allows the trader4s to take exposure to a wider market and that too in a single trade. It is possible to place a bet over an entire index. It could be anything like the Dow Jones Index of the FTSE 100 Index. They are available throughout the day and for a larger portion of the night too.
Betting On Interest Rates
Money market betting or interest rate betting helps traders to look at a market which they may not have had exposure to before. It is all about learning to place bets on long term bonds or short term notes. While the maturity for these long term instruments could be a few years, when you bet you are actually looking at the price movement of the same and trying to make money out of it.
Betting On Shares
Those who are entering spread betting for the first time, a good learning ground would be share betting. Betting on the movement of share prices of domestic and international markets is a good way to learn the tricks of the spread betting world. You can bet almost during the entire day and also a major portion of the night depending on the market that you are in.
At the end of the day apart from choosing the right product to bet on, you also should be prepared to educate yourself and also understand the various trading platform. The technologies behind spread betting should also be known to you and mobile trading is something which must be learnt well for obvious reasons.