Learning the ropes: Spread betting
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For anyone hoping to dabble into the world of financial trading, it can be difficult to choose which type of investment is best. The difficult economic outlook can also make it harder to decide what is the most likely to provide the best returns. But in times of uncertainty, spreadbetting could make an ideal investment, as it does not need a strong upward trend in order to secure a profit. Spread betting is a phrase many people will have heard of but most will not realise what a complicated endeavour it is. Unlike a fixed odds bet at the local bookies, a spread bet is a complicated financial investment where it is possible to lose more than your initial deposit, but conversely offers the chance of significant gains. Spread betting has crept into a number of mainstream markets, such as sports betting, but it is within financial trading that it is most prevalent. There are a number of brokers who offer spread betting services and many offer markets which include, but are not limited to, commodities, currencies, metals, indices, sectors as well as individual shares. Both short term and longer term trades are possible with spread betting, with both daily trades available as well as those which are rolled over each day. To maximise profits and minimise the risk of unnecessarily exposing yourself to the risk of losing more than your initial deposit, experts suggest refraining from trading unless you fully understand the product. To be successful in spread betting involves not only spotting when the market is likely to move, but also the direction it is likely to go in. There are a large number of online brokers who offer spread betting and getting started is a simple process. The vast majority provide the facility to register online and with an account taking only a few minutes to create and go live, it is possible to be ready to trade within a very short space of time. Nevertheless it is essential to have a degree of restraint and make sure you are ready to trade before getting started. Taking the time to familiarise yourself with the platform is important and having the patience to wait for the right opportunity to present itself is absolutely vital. Getting impatient and plunging in is unlikely to end in success. But before you even pick a broker, you need to have a think about how and where you will spread bet. The majority of people will want to trade from their home PC so a web-based platform which is easy to navigate and can be customised is a good start. However, having the facility to keep tabs on your account when you are out and about is a big advantage and some brokers offer different types of access. For example, the City Index spread betting app is available for use on your smartphone. This means that even if you are not at home, you will be able to access the market and check your account using an app specifically designed for that use. City Index include a whole range of data both in their web-based platform as well as their mobile facilities, including live price feeds and 24 hour trading. But whether you plan on being an entirely home-based trader, or whether you think the City Index spread betting app will be of use to you, the world of spread betting has the potential to provide great profits. But in order to get the returns you are looking for, you need to be patient and give yourself time to learn the trade without diving in too soon. However, the right mental approach combined with the desire to keep learning could ultimately be a real money-spinner.