Questions tagged [cfd]

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1answer
187 views

Why someone would prefer CFDs rather than stocks?

From Investopedia: Essentially, CFDs are used by investors to make price bets as to whether the price of the underlying asset or security will rise or fall. That's the same with stocks, right? ...
0
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1answer
115 views

Who pays a CFD profit [closed]

I try to find out who pays the profit of a lucky CFD transaction. When mrX buys a long CFD with underlying value of 10.000€. Now as I understand the CFD is not covered by actual shares, so mrX doesn't ...
1
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0answers
39 views

CFD broler spread as indicator for stock market

Retail trader on stock market has very limited ability to accomodate huge amount of information, it leds me to idea of using behavioir of more informed players - CFD brokers - spread of their CFD ...
0
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1answer
62 views

CFD Broker that only charges for earnings

I've created a small piece of software that allows me to invest into CFDs and gain some small profits. However, most brokers I've found require high opening/closing fees that are in most cases a way ...
0
votes
2answers
232 views

How to trade the FTSE index long and short

I built a trading model to predict the FTSE index. However, apparently one cannot trade the FTSE directly, but only different underlying products. My model trains on the FTSE index, however tradeable ...
1
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0answers
578 views

Triangular Arbitrage with CFD

I cannot understand how the triangular arbitrage fits with CFD. Assuming there is an arbitrage opportunity: EUR/USD < USD/GBP * GBP/EUR If I do this strategy: 1 Long on EUR/USD at Ask price 1 ...
3
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3answers
304 views

CFD - how does it work?

I'm trying to understand how CFD works. I have question about market maker. Who is market maker for CFD? Is it a company which provide a trading platform or any stock exchange? EDIT01 @noob2 thanks ...
2
votes
2answers
122 views

Why do CFDs track the underlying?

My understanding of CFDs is that the profit you make on a CFD is the difference between the price at which you bought the CFD and the price at which you sold your CFD minus various charges/commission. ...