CFD is one of the world’s most popular ways to trade on a wide range of instruments such as Shares, Commodities, Currencies, Indices or Treasuries.
A CFD (Contract for Difference) is a contract between a trader and a CFD broker; it reflects the difference between where a trader enters a trade and exits it. Traders Buy or Sell contracts in order to profit from falling or rising markets.
CFD - Contracts for Difference, is a financial instrument which allows trading index, share or commodity contracts without having to own the underlying asset itself. To buy shares of Boeing or sell shares of Yahoo a trader doesn’t need to be in London or New York. By trading with CFD broker a trader can conduct stock operations while staying at home and without actually owning the underlying asset itself.
In terms of financial language, a contract for difference (CFD) is an agreement between a seller and a buyer to pay the difference between the opening and closing price of the contract. The price of the contract is the price of the asset (a share, index or future).
For example, if a trader buys a CFD for 800 shares of Airbus at 50.00 US dollars for 1 share and sell it later at 55.00 US dollars, the contract buyer (CFD broker) undertakes to pay the price difference of 5.0 * 800 = 4000 US dollars to the trader. On the other hand, if the share price at the moment of closing the contract is lower than the purchase price a trader will be obligated to pay the price difference.
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Do you know another Forex broker who offers Gold, Silver, Oil or CFD trading?
Please suggest by adding a comment below.
trader
March 7, 2009GFS Forex & Futures also supports Gold and Silver trading
BrokerGuru
March 7, 2009thank you!
trader
June 2, 2009FXOpen supports gold n silver trading..
trader
June 3, 2009AVS Carter supports gold and silver trading
BrokerGuru
June 7, 2009Thank you!
A. Beck
July 18, 2009FXcbs a ECN broker, says they will as soon as they are set up and licensed in Dubai, which is currently underway. A. Beck
trader
November 19, 2009Details on FXCM's Oil, Gold and Stock Indices http://www.fxcm.co.uk/cfd-product-details.jsp#stockIndicesDetails
BrokerGuru
November 20, 2009Thank you!
ForInvest Group
November 25, 2009ForInvest Group: Swiss Forex Broker (www.forinvests.net)
Gold: 100 oz - 50 spread
Silver: 5000 oz - 5 spread
Oil: 1000 barrel - 2
BrokerGuru
November 26, 2009Thank you!
The broker has been listed.
trader
December 11, 2009The Swiss Broker MIG Bank http://www.migbank.com/ also trades gold and silver in the MT4 platform.
BrokerGuru
December 11, 2009Thank you!
already on the list.
do you know what spreads they offer for gold and silver?
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