Choose the best CFD trading platform
When investing in CFDs, it is important to do your research and choose the trading platform that is best for you.
eToro offers
Multiple regulated platforms
Platform trusted by millions of users
The ability to trade currencies, stocks, commodities, and indices in one account
The ability to short without leverage
Competitive spreads and transparent pricing for a variety of assets
Advanced risk management features, including real-time alerts and customizable stop loss
A ¥100,000 demo account allows you to experience CFD trading risk-free.
Innovative tools such as CopyTrader™, which allows you to follow other traders and automatically copy their trades in real time.
Dedicated customer support 24 hours a day, Monday through Friday.cfd trader
How does CFD trading work?
In CFD trading, you do not buy or sell an underlying instrument (such as a cash stock, currency pair, or commodity). Instead, you buy or sell a number of units of a particular financial instrument, depending on whether the price goes up or down. CFDs are offered on a variety of markets around the world.
including currency pairs, stock indices, commodities, stocks, and government bonds. For example, one of the most popular stock indices, the UK100, aggregates the price movements of all stocks listed in the UK’s FTSE 100 index.cfd trader
For every favorable move in the price of an instrument, you earn a profit that is a multiple of the number of CFD units you bought or sold. For every adverse price move, you will incur a loss.
CFD trading steps
Know how CFDs work
Understand the basics of Contracts for Difference (CFDs) and how they differ from other financial instruments.
Open a CFD account
Start with a demo or go straight to the live market
Choose a CFD Market
Decide which market you want to trade. Looking for inspiration? Visit our Research Portal
Decide to buy or sell
Click “Buy” if you think the market will increase in value or “Sell” if you think it will decrease.
Choose your trade size
You can choose the number of CFDs to buy or sell
Add a Stop Loss
A stop loss is an order to close a position at a certain price if it moves too far against you, and is an effective way to limit your risk.
Monitor and close the trade
The position is now open and profit and loss updates will be displayed in real time. You can close a trade by clicking the Close Trade button.
What are the advantages of CFDs?
There are no exchange fees. You do not own the underlying asset and do not acquire any rights or obligations with respect to the underlying asset. It is a contract between you and AvaTrade, and you pay no commissions.
Compared to owning the underlying asset, the capital required to initiate a trade is significantly less. Of course, leverage is a double-edged sword and can significantly increase your losses as well as your profits.cfd trader
Investing in multiple vehicles The ability to trade a variety of instruments on the same trading platform.
The ability to trade in both rising and falling markets.cfd trader
The ability to open short or long positions depending on market conditions and trading strategies.
Possibility of hedging As a buffer to a trade, if the trade does not go in the intended direction, you can open an equivalent position in the opposite direction.