What is Spread Betting?
If you are new to the world of financial spread betting then you have come to the right place. Spread Betting Beginner is your resource to all things spread betting and best of all it's free. My name is Harry and I run this site. I regard myself as a spread betting beginner and refer to myself likewise in all blog entries, forum posts and other correspondence throughout this site.
I've made no assumptions in writing the content of the site and it is aimed at complete beginners right through to experts. If you are a newbie then I suggest you first learn the basics. My beginners guide to spread betting is a great place to start.
A Brief Overview
If you're completely new to spread betting you're probably wondering what it actually is. Well spread betting offers a unique way for you to access and trade the worlds financial markets. You can speculate on anything from FOREX to Gold, Form Orange Juice to Indices. You can trade your favourite companies from all over the world such as Apple, Microsoft, BP and Vodafone. You can spread bet as much or as little as you would like, but be warned it's not as easy as some might make it seem. You can make or lose money very quickly and it's of the upmost importance that you only spread bet money you can afford to lose.
- How much money can I make spread betting?
- Can I make millions?
- How much money do I need to start?
- How can I Guarantee I will make money?
- I want to be rich! Will spread betting make me rich?
- How much money do most people make spread betting?
- I'm using my savings to spread bet. I can't afford to lose the money. Should I be trading?
- What's a sensible amount of money to start trading with?
- I lost all my initial deposit spread betting. Should I bet more to win it back?
- I've heard stories of people losing thousands trading. Will this happen to me?
- May the markets be with you! What's that all about?
If I haven't put you off, believe me I don't want to put you off but it's highly important you understand the risks involved. So If I haven't put you off you will need a few key things to get you started.
Choosing the right Company
Firstly you will need a spread betting company. Now most traders that I know have more than one firm they use on a regular basis. Why more than one? Well some companies offer better spreads on some products than others and vice versa. Therefore you can check you are getting the best deal available to you, which in the long run will save you a lot of money. You can use my companies compared chart to help you choose the right firm for you. If you're still struggling to decide then why not check out my company reviews to help you make up your mind.
Only Risk what you can afford to lose!
Under no circumstances should you spread bet with money you need to pay the mortgage, bills, kids collage funds or anything else you need the money for. Only ever spread bet with money you can afford to lose. I know no one likes to lose money, I know I don't. If you are lucky enough to have some spare money you can use for spread betting I would right it off in your mind. Pretend that you no longer have the money this way if you lose the lot, although you won't be happy, you will be mentally prepared to handle the loss. Believe me it happens. People enter the world of spread betting thinking how hard can it be only to realise it's a tough old game and loose all their money and wonder "What happened there!".
Experience Counts For a Lot!
You may not realise it right now but the journey you are about to embark on is not going to be an easy ride. You will go on a roller coaster of emotions, possibly over trade, make the same mistakes as everyone else, you may even end up quitting to go and lick your wounds from your losses. The thing you need to realise is, it will take time for you to build your experience. Imagine you want to become a doctor. You will need to study hard for several years, pass numerous tests and exams before you become qualified. Then you need to gain practical experience before you can be come a fully fledged doctor. The same is true for trading the financial markets.
You will need to read books, study hard, practice what you have learnt and then maybe you will start to succeed. A book on technical analysis and charting would be a great idea as it would help cut to the chase as far as share price are concerned and help focus one on profit opportunities. I'm mainly a swing trader and therefore tend to trade weekly or monthly setups. When I see the right set-up I trade it and tend to be correct far more than I'm wrong. You should use this site to your full advantage. Read my blog entries. In there I detail my experiences and any new trades that I make. Register for the spread betting forum. You will find many knowledgeable members there who are more than willing to help you and share their own experiences with you. The important thing is to start your spread betting education now! Remember to only commit to any position on what you can really afford to lose.
Latest from my spread betting blog
So the Fed will continue pumping liquidity
Many reasons for the move up and potentially a lot more to come:
Avocet and Amara Mining seem highly correlated with each other and with the price of gold; a 1% move in the price of gold translates to over a 5% moving in the underlying company share prices.
Gold has been in rallying mode lately and is now around the 1365.10′s levels. This seems to have helped push up Avocet stock strongly and its been trending for a number of days now. As the time of writing Avocet is trading up 36.95% on the day trading at 20.20p – that’s one hell of a rally and my 16p average position is in profit. I’m determined to continue holding the position for the near-term but won’t let a profit turn into a loss.
Meanwhile am very excited. Have been sent email by FBI saying they are holding $10.5m with my name on it and they just need my bank details and a written letter saying it’s not drug money to release the funds. I don’t know any drug barons, and am not sure why they’d be sending me $10.5m, but hey-ho.. not to look a gift horse in the mouth. I won’t be putting my windfall millions into Avocet just now, I hate to tell you.
Risk Warning: This is a high risk stock and trading it is high risk; just consider that it was trading over 200p in 2011![Read more...]