What is the meaning of CFD in Forex trading Market? - Quora

Completely automated system is compatible to all Crypto of the exchanges and Forex CFD of brokers for connection of self-interest with your account without need to move the means. #tradingcrypto #Tokensale #https://www.lucretoken.com

submitted by cryptobali22 to Crypto_ico [link] [comments]

Completely automated system is compatible to all Crypto of the exchanges and Forex CFD of brokers for connection of self-interest with your account without need to move the means. #Lucre, #LCR,#Cryptocurrency, #https://www.lucretoken.com

submitted by cryptobali22 to Crypto_ico [link] [comments]

The comedy how I lost all my money in two hours

I'm trading for 11 months with pretty good success.
I never traded metals and forex before, just stocks. Today when gold started to consolidate at the last hour, I decided to scalp short it with a large amount, so I opened 100 lots. I haven't realised, in forex 100 (lots) doesn't mean "100 pcs", because I used to stocks and I went full retard without knowledge.
Seconds later, I realised it means 10 million dollars (1 lot = 100.000, and I had 500x leverage).
It moved up a bit and immediately I was down £4000. I scared as fuck and rather than closing the position quickly I hoped maybe I could close break even.
The market closed, and I waited for the Asian session. The gold popped like never before, and I lost all my life savings (£55000) in less than two hours. (including the 1-hour break between sessions).
If I count that I lost all my earnings as well, I lost around £85000.
Here is the margin call
https://imgur.com/a/XY5m4ZA
https://imgur.com/a/VSgmCSs
https://imgur.com/pRWl5g9
IC Markets closed my position partially in every 1-2 minutes until I shut it myself at £35.
You know the rest of the story. I'm depressed, crying and shouting with myself.
Yes, I know I was stupid, thanks. I just wanted to share this with you.



Edit: WOW THANK YOU, GUYS! I haven't expected this, but you help me.
Many of you asked the same questions, I answer it here:
- I live in Europe, and we usually trade CFD's, not futures.
- Currency in GBP.
- As you can see, this account made on IC Markets. They not just allowing you a 500x leverage, it's the default.
- You can ask me why I went against the market. Because gold is way oversold? Because I expected institutions would sell their shares before gold is hitting £2000, leaving retails hanging there. Also, as I said, I wanted to scalp, not riding the gold all the way down. If I had a loss of £100, I would close the position immediately. But when I saw the £4000, my heart is stopped, and my brain just freezes.
- I went for a revenge trade with my last £2k, and I don't have to say what happened. I uninstalled the app, and I give up trading for a while.
- Again, in the past months, I was cautious, I lost a significant sum in March, but I managed to recover. Made consistent gains, always with SL. This is just an example of how easy is to fuck up everything you did.
- I didn't come here for some shiny digital medals. I can't tell about my losses to anyone who I know in real life. I would make a fool of myself.
- Anyone who attacking me that it is a scam. Well, think what you want. I feel terrible and the last thing is to answer all the messages saying "You fucking karma whore". I don't give a shit about karma.

submitted by fail0verflowf9 to wallstreetbets [link] [comments]

Etoro and The bank F*&CKERY - They're both robbing you.

So im looking to invest through Etoro for the long term, Im a math freak and I create various spreadsheets to track my money, anyways to the point, I'm from the UK so the exchange is a real hassle.... not so much when depositing but when I withdraw, ill go into some numbers below.
Lets say I start the year by investing £10000 and I make 50%, great right? yeah, but heres some more numbers.
If I withdraw £15000 from USD to GBP ill have 13.14% of my profits slashed, my banks exchange rate is 1.4107... etorro is 1.2875 from GBP to USD, so £15000 would equate to $19312 USD, as etorro only handles USD and withdraws in USD.
So with $19,312 I withdraw I lose $5 > $19,307. $19,307 Is sent to my bank and my bank converts it to GBP at a rate of 1.4107 which leaves me at £13,686. thats £1314 taken away from me. 13.14% gone. and yes you could say "just dont withdraw then" lets see another example.
Deposit: £30,000 Etoro Conversion: $38,625Profit made: 50%: £45,000 Etoro Conversion: $57,937Withdrawal Free $5 --- $57932
$57932 in withdrawn, $5 fee is taken and is now on its way to the bank.
Natwest handles this withdrawn money at a rate of 1.4107 so our final sum ends at £41,966.49 with a EOY return of 36.89, again we have lost 13.11%. and the banks have taken £3034
So what does this mean? this is bad news to those who are not from the US, alot of people aim for 10% profits per year only to find out that they've made nothing because of the exchange rates, I have ran the numbers multiple time and its crazy when you see the truth, why cant Etoro handle withdrawal conversions? theyre making millions from forex and CFD spreads as it is.
The only solution is if Etoro withdraws your money the same way you deposit it.....
EDIT: this is only the case if you withdraw your funds that aren't your bank account currency, comments below have mentioned that you can choose your withdrawal currency so this shouldn't be a issue, but take this as a lesson, above is a prime example if you choose the wrong option, the banks will penalise your profits big time.
submitted by Zephh26 to Etoro [link] [comments]

I'm new in this and I have some questions

1 - What is exactly the inactivity fee that can be found in some brokers? This is confusing to me because I don't know what they mean by 'inactivty'? Do I have to pay the fee only if I'm not buying anything, or not selling? Or both?
2 - What is the time an operation has to be held to be considered scalping? Less than 5 minutes? Some brokers like Trading 212 and eToro don't allow scalping, but don't specify where is the limit.
3 - Is the swap/overnight fee only a CFD thing? If I trade stocks/forex without any CFD do I have to pay it too?
4 - In general, when I buy/sell in a broker, are the trade commissions already added to the price that I see when I buy/sell?
5 - Even with no withdrawal fees, if I withdraw money to a paypal account, I have to pay paypal fees when I receive the money, right?
submitted by EduEpsilon to Trading [link] [comments]

ASIC Regulation Thread - Regarding the proposed changes ( Australians effected the most )

I'm hopeless at formatting text, so if you think you can structure this post better take everything i write and put it into an easy to digest way. I'm just going to type out everything i know in text as fast as possible. I'm not a legal expert, I'm not somehow who understands every bit of information in the PDF's below, but i know I'm a retail trader that uses leverage to make profit which is why I'm posting this, in the hope that someone who can run a charge better than me, will.
Some of you are already aware of what might be happening, this is just a post to educate retail traders on changes that might be coming to certain brokers. This effects Australian Customers the most, but also effects those living in other countries that use Australian brokers, such as Pepperstone and others.
Last year in August 2019, ASIC ( Australian Securities and Investments Commission ) was concerned about retail traders going into Forex and Binary options without understanding these instruments properly and started sticking their noses in for tough regulation.
ASIC asked brokers and anyone with interest in the industry to write to them and explain what should and should not change from the changes they proposed, some of the proposed changes are very misguided and come from a lack of understanding exactly how OTC derivatives actually work.
I will provide the link to the paper further down so you can read it yourself and i will provide a link to all the submission made by all parties that sent submissions to ASIC, however the 2 main points of debate are:
1, To reduce the overall leverage available to retail traders to either 20:1 or 30:1. This means people who currently use leverage such as 100:1 to 500:1 and everything in between will be effected the most, even more so are those traders with relatively small accounts, meaning in order to get your foot in the door to trading you will need more capital for it to be viable.
^^ This point above is very important.
2, The removing of Binary options trading, which basically includes products like "Bet if gold will rise to this price in the next 30 seconds" This sort of stuff. So far from all the submissions from brokers and individuals nobody really cares if this changes as far as i know, though if you have concerns about this i would start voicing your disapproval. Though i would not waste your time here, all is pointing to this being eradicated completely with brokers also supporting the changes, I've never used such a product and know very little about them.
^^ This point above isn't very important and will probably be enforced in the future.
Still to this day i see retail traders not understanding leverage, they think of it as "dangerous and scary", it's not, position size is the real danger, not leverage. So ASIC is aiming to limit retail traders access to high leverage, they are claiming it is a way to protect traders who don't really understand what they are getting into by attacking leverage and not the real problem which is position size relative to your capital.
If it was truly about protecting retail traders from blowing up their accounts, they would look for ways to educate traders on "understanding position sizes and why it's important" rather than attacking leverage, but their goal is misguided or has an ulterior motive . I will give you a small example below.
EXAMPLE - We will use 2 demo accounts for demonstration purposes. If you don't understand my example, i suggest you try it for yourself. - Skip if not interested in examples.
Lets say we open 2 demo accounts with $1000 in both, one with 20:1 leverage and one with 500:1 leverage and we open an identical position on both accounts ( say a micro lot '0.01' on EURUSD ). You are safer on the 500:1 account as you don't need to put up as much margin as collateral as you would on the 20:1. If the trade we just opened goes against us and continues against us, the account with 20:1 leverage will run out of free margin a lot faster than the 500:1 account. In this simple example is shows you that leverage is not dangerous but safer and gives you a lot more breathing room. This trade was a small micro lot, so it would take hundreds of pips movements to get margin called and blow up that $1000 on each account. Lets now use a different position size to truly understand why retail traders blow up accounts and is the reason why trading can be dangerous.
This time instead of opening a micro lot of '0.01' on our $1000 dollar demo accounts, lets open a position size much larger, 5 lots. Remember we only have $1000 and we are about to open a position much larger relative to our capital ( which we should never do because we can't afford to do that ) the 20:1 probably wont even let you place that trade if you don't have enough margin as collateral or if you could open the position you would have a very tiny amount of free margin left over, meaning a small pip movement against you will instantly blow up your $1000 account. On the 500:1 account you wouldn't need to put up as much margin as collateral with more free margin if the trade goes bad, but again a small movement could blow up your account. In this example, both accounts were dangerous because the lack of understanding position sizes, opening a position you can't afford to open. This is what the true danger is, not the leverage.
Even in the second example, the higher leverage would "margin call" you out later. So i would go as far to say that lower leverage is more dangerous for you because it margin calls you out faster and just by having a lower leverage doesn't stop you from opening big positions that can blow you up in a 5 pip movement anymore, any leverage size is dangerous if you're opening positions you can't afford to open. This is also taking into consideration that no risk management is being used, with risk management higher leverage is even more powerful.
ASIC believes lowering leverage will stop people opening positions that they can't afford. When the reality is no matter how much capital you have $500, $1000, $5000, $50,000, $500,000, $5,000,000. You don't open position sizes that will blow that capital up completely with small movements. The same thing can happen on a 20:1 or 500:1 account.
Leverage is a tool, use it, if your on a lower leverage already such as 20:1, 30:1 it means your country has been regulated and you already have harder trading conditions. Just remember higher leverage allows you to open larger position sizes in total for the amount of money you own, but the issue is NOT that your using the higher leverage but because you are opening positions you can't afford, for what ever reason that is, the only fix for this is education and will not be fixed by simply lowing leverage, since you can just as easy blow up your account on low leverage just as fast or if not faster.
So what is going on?
There might ( get your tinfoil hats on ) be more that is involved here, deeper than you think, other agendas to try and stop small time retail traders from making money via OTC products, theories such as governments not wanting their citizens to be traders, rather would prefer you to get out there and work a 9 to 5 instead. Effective ways to do this would be making conditions harder with a much larger barrier of entry and the best way to increase the barrier of entry for retail traders is to limit leverage, lower leverage means you need to put up more money, less breathing room for trades, lower potential. They are limiting your upside potential and the downside stays the same, a blown account is a blow account.
Think of leverage as a weapon, a person wielding a butchers knife can probably destroy a person wielding a steak knife, but both knifes can prove fatal. They want to make sure your holding the butter knife then tell you to butcher a cow with it. 30:1 leverage is still workable and can still be profitable, but not as profitable as 500:1 accounts. This is why they are allowing professionals to use high leverage, this gives them another edge over successful retail traders who will still be trying to butcher a cow with a butter knife, while they are slaying limbs off the cow with machetes.
It's a way to hamstring you and keep you away rather than trying to "protect" you. The real danger is not leverage, they are barking up the wrong tree, how convenient to be barking up the very tree most retail traders don't fully understand ( leverage) , pass legislation to make trading conditions harder and at the same time push the narrative that trading is dangerous by making it even harder. A full circle strategy to make your trading conditions worse, so you don't succeed.
Listen carefully especially if you trade with any of the brokers that have provided their submissions to ASIC. Brokers want to seem like they are on your side and so far some of the submissions ( i haven't read them all ) have brokers willing to drop their leverage down to 30:1 because they know by dropping the leverage down it will start margin calling out their clients at a much faster rate, causing more blown up accounts / abandoned accounts with residual margin called funds, but they also know that if they make trading environments too hard less people will trade or even worse move their funds elsewhere offshore to unregulated brokers that offer higher leverage.
Right now it's all just a proposal, but as governments expand and continue to gain more control over it's citizens, it's just a matter of time till it's law, it's up to you to be vocal about it, let your broker know that if they drop their leverage, you're out, force them to fight for you.
If you have any more information related to this, or have anything to add, post below. I'm not an expert at this technical law talk, i know that i do well with 500:1 leverage and turn profits with it, it would be harder for me to do on a lower leverage, this is the reason for my post.
All related documents HERE
CP-322 ( Consultation paper 322 ) & Submissions from brokers and others.
https://asic.gov.au/regulatory-resources/find-a-document/consultation-papers/cp-322-product-intervention-otc-binary-options-and-cfds/
submitted by southpaw_destroyer to Forex [link] [comments]

The million dollar question – Why Consider Options Trading

With so many alternative ways of investing in markets, these days, working out which is right for you, can be more challenging than ever. While some areas, such as CFD’s have become fashionable, as we all know, fashion lasts just a season at best! Options, however, are now approaching their 40th Anniversary on the Australian Stock Market – they aren’t fashion, they are style, and real style never dates!

What are some of the key benefits of trading options?

More than any single investment vehicle, options provide flexibility. By that, I mean you can have the potential to profit from a whole range of market conditions – Up, Down, Sideways, Extremely Volatile, not volatile and frankly, no other investment vehicle can offer this kind of opportunity, period!
Options can be used to manage risk, or to protect and hedge, or to generate income, or to exploit market moves for leveraged capital gain, or to profit from no move in the market – again – no other investment vehicle is able to offer this!!
Perhaps most importantly, for many, they bring leverage to the table in what is a potentially far safer way than other instruments. Specifically, with instruments such as Forex, Margin Lending, CFDs or Futures, it is possible to lose more money than you put down. In other words you become the victim of a margin call. With a bought option this is simply not possible – you cannot lose more than you put in.

What about security?

Options are what is known as an Exchange Traded Instrument or ETO for short. This means that all trades are cleared out through a regulated exchange, be that the ASX in Australia, or in the US, the Nasdaq for example. By trading through an exchange there is an enormous safety net. That safety net is zero counterparty risk.
Because all trades are cleared through an exchange, a process called Novation means that if the other person or broking firm on the other side of the transaction is unable to settle, fails financial or has no money, your position is guaranteed by the Exchange themselves, who stand behind the trade. While you may not necessarily appreciate the significance of this, it is huge!
By contrast, trading on CFDs or Forex are Over The Counter or OTC products where, as an investor, you are not protected by the Exchange, to effectively guarantee the other side of the trade. In short, if the counterparty fails, you lose your money…
Trust me, in today’s market this is critically important and hence why we love Options.

Are there risks with Options trading?

Yes there are but in the majority of cases, these risks can be mitigated. Specifically there are strategies that are lower risk, and others that are higher.
As a result, learning which strategies best fit for you and your circumstances, is an important and often missed step.
For example, “Naked” or “Sold only” positions in the options market can be extremely risky, hence we encourage our clients to avoid these like the plague! That is of course, until they have built up a good level of expertise. Instead, we far prefer lower risk strategies that have the ability to more consistently offer a steady return.
submitted by andrew_baxter to u/andrew_baxter [link] [comments]

I'm new in this and I have some questions

1 - What is exactly the inactivity fee that can be found in some brokers? This is confusing to me because I don't know what they mean by 'inactivty'? Do I have to pay the fee only if I'm not buying anything, or not selling? Or both?
2 - What is the time an operation has to be held to be considered scalping? Less than 5 minutes? Some brokers like Trading 212 and eToro don't allow scalping, but don't specify where is the limit.
3 - Is the swap/overnight fee only a CFD thing? If I trade stocks/forex without any CFD do I have to pay it too?
4 - In general, when I buy/sell in a broker, are the trade commissions already added to the price that I see when I buy/sell?
5 - Even with no withdrawal fees, if I withdraw money to a paypal account, I have to pay paypal fees when I receive the money, right?
submitted by EduEpsilon to Daytrading [link] [comments]

What are the best Forex trading platforms/brokers?

Forex brokers are firms that provide currency traders with access to a trading platform that allows you to buy and sell foreign currencies. Retail forex brokers, handle a very small portion of the volume of the overall foreign exchange market.
Some of the best forex brokers:
Saxo Bank
This is considered one of the best forex brokers overall. It is the best overall because it has great competitive pricing to get involved, and has access to a wide range of markets. In addition it is very secure with multiple regulatory licenses. It also offers all forex traders with innovative trading platforms that really create more options for traders making them more successful.
Btw, I am trying to build a team with people who are interesting in learning how to trade. Here is the link to join my team and the name of the company is called mastery im academy. it is an education platform to learn how to trade https://iM.Academy/corp/cjoin?enroller=trade2bewealthy
IG
This forex broker is considered best for CFD trades which means Contract For Difference. A contract for difference (CFD) is a popular form of trading that helps traders to speculate on the rising or falling prices of fast-moving global financial markets. This means that traders who like this trading style look for a wide range of tradable products in their platform which you can find globally on IG. IG is also very trusted around the world which is good for traders because they need to be able to trust their forex broker. They also provide Comprehensive research tools and real-time exchange data. In addition, they have a broad range of markets, including multi asset CFDs like cryptocurrencies.
TD AmeriTrade
This forex broker is only for US residents but it is great for Americans if you need a forex broker. If you are an American I would suggest this one because it is ranked number one for customer service and is very well trusted. It is regulated within the United States standards and is very heavily looked after. It has a wide array of premium research and tools to help traders succeed. They are predicted to start using Bitcoin trading which is also up to date and will be useful. They also have excellent phone support which can be an essential aspect of trading if you are hands on with questions and need answers.
Overall, these are some of the best forex trading brokers. I highly recommend taking a look at these three forex brokers because they are some of the most regulated and also have good tools.
submitted by Rohitpure to u/Rohitpure [link] [comments]

Forex trading and belgian taxes

Hello BEFire people, Looking how I now have a bit of time on my hands and some money I don't mind loosing on the short term, I would like to start dabbling into Forex trading. Lost of great resources exist for you to start with a demo account and learn how this type of market work but the question isn't here. As any investor know most of the money you make can be lost through the complex process of Belgian taxation. Which is why I am addressing you in the first place.
After a bit of research, i found really conflicting legislation on the subject. On one side, the FSMA has banned the trading of CFD (contract for differences) and Forex instruments by Belgian brokers. (https://www.fsma.be/en/faq/fsma-regulation-governing-distribution-certain-derivative-financial-instruments-binary-options-0) Leaving little room for private investors to do anything. On the other, I didn't read anything about passing through an offshore broker.
Diving deeper in the taxes aspect of it, I suspect this would be taxed as a "professional salary" due to the repetitive nature of the operation and would there account for for a complementary salary more than anything else. If it is the case, this would mean it would follow the following table:
from 0 to 8 350 euros ..............................................25 % from 8 350 to 11 890 euros ....................................30 % from 11 890 to 19 810 euros ..................................40 % from 19 810 to 36 300 euros ..................................45 % over 36 300 euros ..........................................50 % Mind that these numbers date from 2015 and might not be up to date anymore.
This would means that if you want to double your capital by trading Forex you would nearly have to triple it before taxes.
Has anyone here ever dealt with Forex trading and could confirm my understanding on (1)the possibility to trade Forex through offshore broker and (2)the way Belgian taxes are computed for this type of trading is correct ?
submitted by Fairytayl to BEFire [link] [comments]

Question before getting into degiro

In reviews about degiro I've seen: "The lack of markets and investment types, does mean however, it is better suited to ‘buy and hold’ investors, rather than active day traders."
I also heard some people say that degiro "might not be ideal for daytraders".
What does this mean in particular? Is the first sentence refering to that you can't trade CFD's and forex? What do "markets" and "investment types" mean in that context?
I guess my baseline question would be: Can I just trade options during the day, and take advantage of degiro's relatively low transaction fees, while also holding some stocks/etfs on the side for a bit longer? Or is there a caveat/catch to it (and is this not the best broker for a dutch beginner, like myself)?
Because from everything I've researched degiro looks like a damn good option, but these reviews are giving me some doubts.
Thanks a lot for reading
submitted by LegendAngelo to eupersonalfinance [link] [comments]

Help with Questionnaire.

Hey there,So I'm 99% sure I'm getting these questions right however, they are always wrong for some reason. I'll like to ask for some guidance on what the answers are and why they are those answers.
  1. Which of the following best describes "gapping"

  1. To reduce the risk of trading leveraged products which of the following is important?]

  1. What best describes going "long" (buy position)?

  1. When markets are volatile, which of the following best describes trading leverages products?

  1. Which of the following statements best describes high volatility?

  1. Which of the following statements is true?

  1. Where would you place a stop loss for a buy (long) trade [ Going long or buy means you expect the market to go upwards]

  1. It is important to place a stop loss on a trade because?

And then It comes up with 7/10 however there is only 8 questions??? any help would be appreciated.
submitted by Leading_Association8 to Etoro [link] [comments]

CFD Trading Platform: A Decentralized Financial Exchange for you

I assume wherever we live, anybody wants to acquire the best service provider. Especially whilst these identical services are related to Finance or different essential regions. However, the Blockchain generation is growing rapidly nowadays. This has brought about the emergence of basically new projects, platforms, bringing ease to the life of which was difficult to assume even 10 years in the past.
The DeFi enterprise is growing. But with each breakthrough comes greater stress on the Ethereum network. Transaction costs have become increasingly more unsustainable, and with every new DeFi application, there are new security risks, auditing necessities, or even higher boundaries to entry for brand new builders.

https://preview.redd.it/ng02i0xdotk51.png?width=1179&format=png&auto=webp&s=aa0a7076b4ce54931273ce599f7ea185b79b768d
In other to avoid the unnecessary stress and burdens, CFD Trading Platform is what we truly need.
What is Contracts for Difference (CFD)?
CFD is a by-product agreement that occurs between a trader and a brokerage organization. CFD holders have the privilege of receiving the distinction among the asset’s present day charge and their predicted rate. If the expected fee is incorrect, the dealer will have to cover the losses.
Contracts for Difference (CFD) provide buyers and financial specialists around the world the opportunity to gain from value improvement without owning a fundamental asset. This is a fairly primary safety that is determined by means of the motion of an asset between trade entries and withdrawals.

https://preview.redd.it/0om3qfveotk51.png?width=1181&format=png&auto=webp&s=bf41ec71879a4ca579526192e9228c4f9492fcba
Benefits of CFD Trading
The decentralized marketplace uses specific virtual gear to deliver and display actual-time bid / ask trading costs. Accordingly, consumers, dealers and sellers aren't constantly within the equal place to execute securities.

https://preview.redd.it/e1tjgcggotk51.png?width=689&format=png&auto=webp&s=c8b58d96dfd5cbf34c212f08606dc2aa04950162
What trading markets does Defi.Change assist? Defi.Exchange only supports transactions for Forex and Crypto.

https://preview.redd.it/5qwfgxahotk51.jpg?width=2000&format=pjpg&auto=webp&s=4848a524be80b720aeb6c8a1eb1ebb03614e6048
With the Forex market Defi.Trade gives five buying and selling pairs:
NZD / USD CHF / USD CAD / USD RUB / USD THB / USD 
With Crypto Trades; Defi.Exchange offers five buying and selling pairs:
BTC / USDT BCH / USDT DASH / USDT XMR / USDT ZEC / USDT 
Once created, each exchange accounts has its own strengths, retaining up with the fashion of the Defi.Exchange platform is inevitable. With robust assets and the present day AI era basis, together we are able to achieve all desire; If you've got any questions about Defi.Alternate, do get help below:
Website: https://defi.trade/ WPP: https://drive.google.com/file/d/1_ChG09bl29HTSstIpf_HFOHCeNNf7484/view Telegram channel: https://t.me/defitradeexchange Telegram group: https://t.me/defitradegroup Youtube: https://www.youtube.com/channel/UCKQ1pUh2yzivLazjLAN03yg Twitter: https://twitter.com/defitrade Facebook fanpage: https://www.facebook.com/defitrade/ Medium: https://medium.com/@defitrade

Author: cytpoway121 https://bitcointalk.org/index.php?action=profile;u=2202709
submitted by cytpoway to Crypto_General [link] [comments]

(Mainly) UK Tax question for a Sunday Morning

Hi
This is something more of a curiosity. In the UK we can trade Forex using spread betting so any gains are totally tax free.
However, lets say for some reason you were using a different method. Maybe you were using a broker in another country, or trading Forex using a CFD account. What asset is Forex categorised under for Capital Gains Tax (CGT)?
Looking at the government CGT website, it includes shares as being subject to CGT but not Forex, it does also state that selling coins is subject to it. However, Forex is neither shares nor coins; coins being physical objects.
And just thinking of this as I type, it also states that CGT is paid on assets. It's arguable though that currency isn't an asset but merely a tool used to purchase assets. After all, there is the often used distinction of people being "cash rich" or "asset rich". Doesn't it blur the line between the distinction of money and assets if you have to pay a tax which is meant to be applied to an increase in value of an asset itself rather than means of exchange?
I'm sure there's plenty of legal rulings on this, and this sub will be quite biased on the subject (shouldn't be taxed). Wondering on peoples thoughts on the later.
Having a few showerthoughts this morning.
submitted by MrFanciful to Forex [link] [comments]

Trading US stocks in UK

Hi everyone, trade Forex but have been meaning to try and learn how to trade stocks for a while. I have loads of potentially really good sources of information and courses that I went to invest in but there is one draw back holding me back, that is that all of these are primarily based on trading the US stock market. I am wondering what may be holding me back in terms of investing in the US market from the UK (spreads, any forms of taxation , commission rates ect.) I know that I can trade them using CFD's, would that be the same method that most day traders in the US would trade their stocks? If not what is the big difference between someone like myself trading CFDs and the actual shares themselves? Looking forward to any suggestions.
submitted by DeeRambo to Daytrading [link] [comments]

Things you need to know about MT5

Things you need to know about MT5
If you have been involved in online trading for some time, chances are you have used the MT5 software.
Even if you are new to online trading, I am sure you have heard about MT5 from more experienced traders in your network.
But the platform isn’t just popular for no reason. Both traders and brokers find it useful because:
  1. It has impressive functionalities that you can’t get on any other platform
  2. It is openly available to all brokers and traders.
However, that is not all there is to MT5. So this post will be looking at some exciting things about MetaTrader 5, including:
  • Its features
  • The types of account it offers
  • Basic terms every professional trader should know
Before we delve into highlighting the features, let’s look at what MetaTrader 5 really is.
So what is MT5?
MetaTrader is a multi-asset platform that offers traders the tools to trade forex, stocks, and futures.
The first version of the software, MT4, was created in 2005 by MetaQuotes Software Corporation. The second version, MT5, was released in 2010 to offer more functionalities and better trading experience to users and brokers.
With the history out of the way, let’s look at the features that make MT5 the software of choice for most brokers and traders.
5 features of MT5 that make it the market leader
  • Multi-asset trading platform
  • Automated trades to test trading strategies
  • Automated bots by experts
  • Hedging and netting allowed
  • 21 time-frames — from minutes to years
The 3 types of MT5 accounts available on Deriv.com
One of the things that have made MT5 very popular is its open-source nature. This has allowed different brokers to integrate it into their respective trading platform.
But at Deriv.com, we didn’t just integrate MT5 into our platform.
We blended the powerful functionalities of the MT5 with our experience as pioneers in the online trading industry and we call it — DMT5 an all-in-one forex and CFD trading platform.
When you trade with DMT5, you have the option to choose from three different account types, each designed to appeal to traders with varying styles of trading and experience.
The three account types are explained in the images below.

Types of DMT5 account

DMT5 Accounts
It is worthy to note that synthetic indices are only available to Deriv.com traders and can be traded even on weekends.
Another point to note is that while Deriv.com created the synthetic indices algorithm, the market mimics the real-world financial market.
Lastly, let’s look at some of the terms that you should know if you want to succeed in online trading.
Basic terms every professional trader should know
1. Leverage
Leverage gives you the ability to trade a larger position using your existing capital.
2. Order execution
There are two types of order execution: instant execution and market execution.
Instant execution places your order at the price available at that time. Requotes are possible only if the price fluctuates by a lot before the execution of the order is completed.
Market execution allows you to place an order at the broker’s price. The price is agreed upon in advance, there are no requotes.
3. Spread
A ‘spread’ is the difference between the buy and sell prices. A fixed spread is subject to changes at the company’s absolute discretion, whereas a variable spread means that the spread is constantly changing. A fixed spread is not affected by market conditions, a variable spread depends on market conditions.
4. Commission
Brokers usually charge a commission for each trade that is placed. Deriv.com, however, charges no commission across all account types, except cryptocurrencies.
5. Margin call
Your account is placed under margin call when the funds in your account are unable to cover the leverage or margin requirement. To prevent a margin call from escalating to a stop out level, close any open positions, or deposit additional funds into your account.
6. Stop out level
Your account will reach the stop out level where it will be unable to sustain any open positions if it has been under margin call for an extended period of time. This will lead to all pending orders being canceled and open positions being closed forcibly (also known as “forced liquidation”).
7. Cryptocurrency trading
Indicates the availability of cryptocurrency trading on a particular account.
These are the basic things you should know about MT5. If you are new to online trading, we highly recommend you read the following posts:
https://medium.com/@derivdotcom/things-you-need-to-know-about-mt5-961b2665a4fb
submitted by justvisuals to Mt5 [link] [comments]

KONTOFX REVIEW

Overview:

The offshore FX and CFDs broker KONTOFX has its focus on binary trading options. It offers a number of binary assets for trading on an oversimplified trading platform. It also offers maximum leverage of a 1:200. Before considering this broker for trading please follow our scam broker KONTOFX review.

About the KONTOFX:

The broker offers binary options of more than 20 cryptocurrencies from popular Bitcoin to Ethereum and many more. The minimum investment of $250 is needed to start trading with KONTOFX. This minimum deposit is in accordance with the current market situation but several regulated brokers provide the same services at the cost of $ 5. The Estonian firm NTMT Transformatic Markets OU is the owner of KONTORFX and the operations are handled by Northside Business Centres located in Hungary. It has also another office located in Moscow, Russia that manages clients outside of the EU. To offer its services in the EU any Estonian firm required to be regulated by Finantsinspektsioon the local Financial Supervision Authority. When checked with Finantsinspektsioon there is no evidence of this broker’s registration.
The terms and conditions section of this brokers mentions that the broker is not bound to process withdrawal requests made by the traders. Meaning that the profits gained by the traders can not be withdrawn. This condition is utter nonsense as traders do trading to earn profit and use them as per their convenience.
The available spread at KONTOFX on bitcoin-us dollar pair is around $170 that is higher. On the contrary, the information on the website talks about low spreads at 0.6 pips. The offered leverage is up to the ratio of 1:200. When tried to test the provided trading platform we came across very few CFDs offered on binary options and not at all on other commodities. This means the broker is advertising itself falsely as the leader in binary and other commodities CFDs providers.
The payments are entertained only with cards and all other means of payments are unavailable. As mentioned earlier this broker does not provide world-leading MetaTrader platform. Instead offers to trade on some unproven web-based terminal. The fact of worry about this broker is, there is warning issued against it by the Financial Conduct Authority, UK.

Is KONTOFX legit or scam?

The offshore broker KONTOFX makes false claims every now and then. The terms and conditions of this broker are very strange. The broker KONTOFX is unregulated and unlicensed and has a high risk of fund loss. All in all this broker can be a potential Forex scam broker. Avoid it for the safety of your investments.
submitted by fraudbrokers to u/fraudbrokers [link] [comments]

Forex Financial Instruments (Spot? CFD?)

I hope this is the right place to be asking this.
I've been trading for almost a year now, been decently profitable with consistency on my small account and I've been planning in a few months to add more capital into my trading account. So I got more serious about finding the right broker, reading the fine prints, noticing how Swiss brokers insure your funds and others separate client's funds. However, now it seems I have gone into the rabbit hole and find myself even more confused. The broker I am trading with currently turns out is using CFDs for me to trade, which to my understand is a derivative of the underlying asset.
Is there other kinds of financial instruments that I can use to trade forex or is this the primary means of trading forex? I've heard of spot forex but does that exist in the brokerage firms? What is the difference? It makes me wonder, if all this time I am trading CFDs, that means im trading within the CFD market and not the "$X Trillion" market, or is there a flaw to my logic?
I am sure the CFD market is big enough that I should not worry that no one will take the other side of my trade, but what IF there was one huge whale on the CFD market and took the right bet and there was not enough opposing trade, what would happen then? Maybe I'm just thinking too much.
submitted by HungryJames to Forex [link] [comments]

CMC Markets: is everything in CFDs? If so, how do the forward date ones work?

I just started a demo account with CMC Markets, and I was wondering if every single asset listed is traded as a CFD? When learning about forex from BabyPips I had the mentality as if I'm literally trading the currency; as in if it were in person, I'd be giving some coins in one currency and receiving another. I guess since CFDs are linear derivatives it doesn't matter as much, but I still feel like there are some additional considerations when trading CFDs vs "actual currency"? Also, what are the maturities on these? Are there even maturities? All the quotes just say "USD/CAD", "EUJPY" etc, but from my understanding of a CFD, you agree to pay the difference from actual and agreed, much like a future, so why are there no maturities?

Question 2: For CFDs on things like equity indices, they seem to trade the whole day unlike their underlying. Does this mean say at 9pm EST the S&P500 CFD is just people essentially betting on tomorrow's open? And again with the futures thing, does after-market hours trading in these CFDs affect the real opening price the next day? (If markets are efficient and we assume there are people watching CFD prices like future prices, and then tomorrow's early trades become based on what the futures markets seem to say about the S&P, holding news and other things constant).

Question 3: For CFDs with maturity dates like commodities on this platform, how does that work? Again, I'm mostly confused at how CFDs operate without maturities and how they different from futures. On the CMC markets platform, many agricultural commodities come with the suffixes like either "cash" or a maturity date, but currencies and equity indices do not. What does this mean? Those commodities I'm clicking trade on...am I trading a corn CFD? Or a CFD on corn futures? What exactly is the underlying mechanic?
Question 4: yet another example. For the bond indices...what am I looking at on the platform? I just want to get a chart of US treasury yields but I don't think that is available on CMC. What am I looking at when I click UK Gilt Cash or US T-Bond Cash or US T-Bond Jun 2020?

Tl;dr Don't understand the mechanics of CFDs and thus I'm not sure what EXACTLY I'm actually trading when I trade things like currency, equity indices, commodities. Surely I'm not actually trading a physical commodity or actual shares. Please note this is specific to CMC markets.
Thanks :)
submitted by fittyfive9 to Forex [link] [comments]

What T4B, RoboForex & other brokers bring to the table + why im still bullish af going forward for GVT

Pretty lengthy reply so thought id reply with a new thread for visibility:
@koalaindisguise -> ''Before the project launch, partnership with these forex companies was announced with a big hype. They were not US/UK financial institutions but at least they were companies with legal entities.
I was thinking/hoping that we would be able to entrust our tokens to professional brokers working under these companies. In the end, we have to deal with noname finance gurus on the internet who wants to gamble other people's savings with 50% success fee.
We are just slowly bleeding out one way or the other. I don't think US adoption will turn the table because of tokenomics.''
Before i start:
  • You talk about dealing with some noname finance gurus on the internet, and you would quite happily entrust your tokens to a 'professional broker'. This is the problem with the current industry. There is no transparency. You are entrusting your tokens blindly and you have no idea how your funds are actually being managed nor past performance of these brokers. Genesis Vision gives you the freedom to diversify your investments across multiple different managers, brokers, account types (forex/crypto/stocks) as well as GV Funds & even copytrading soon. With all past and real time results on display.
  • Some of these noname finance gurus might actually be pretty poor traders, in which case they will drop to the bottom of the pile and their trading history open for all to see. There are some good traders too, following all available investment advice would see you wait to make an investment in the right manager based on their program metrics.
  • TLDR - There are good eggs and there are bad eggs, blame the manager for their bad trades, not the platform. Also remember it was your choice to invest in that manager and all the metrics were available for you to view before you did.
Back to your question regarding partnerships:
Tools4Brokers:
  • T4B engage in technological maintenance and software development for brokerage companies, mainly in forex markets.
  • T4B provides solutions to over 250 companies from thirty different countrys
  • Aleksey Kutsenko CEO of Tools For Brokers is the co-founder & CBDO of Genesis Vision
  • Aleksey is responsible for the implementation strategy of the Genesis Vision platform in the Forex industry
  • T4B supply Genesis Vision with ready codebase solutions.
  • A few details on Alekseys background -> https://blog.genesis.vision/genesis-vision-development-plans-for-2018-from-our-cbdo-alexey-kutsenko-c9aa484bb714
IMO this is a very valuable partnership to have. T4B already had an existing portfolio of brokers prior to the release of the GVT platform. This will have proved greatly beneficial in relation to B2B networking for Genesis Vision, not to mention any techical knowledge and business advice T4B will have bought to the table. Going forward im sure this would continue to be greatly beneficial.
RoboForex:
  • RoboForex supports a roster of approximately 9400 assets from eight different categories, those being forex, stocks, indices, ETFs, commodities, metals, energies and even cryptocurrencies with liquidity for them provided by eight separate liquidity providers.
  • Genesis Vision managers have a “pro standard” account type, meaning that they have access to 36 currency pairs, metals, CFDs and cryptocurrencies.
  • GV Managers can trade with a leverage of up to 1:100
The RoboForex broker is just another broker to add to the list of tools and markets available for GV managers to trade on. I have not personally traded on RoboForex so cannot offer an opinion on how good of a broker they are, but at current they just add an addition choice for trading in the GV ecosystem.
This goes for other Crypto/Forex brokers that will arrive in the platform shortly and are currently integrated. With more and more tools and opportunites becoming available for both the current and future GV managers, the higher chances of creating a successful happy manager
MY reasons for continuing to be bullish on GVT
  • The team continue to focus on development that attracts more managers and investors to the platform (Okex, Huobi, Exante, Chinese translation, Copytrading etc.)
  • Im not saying every manager will be profitable, far from it, but more managers = more profits that flow through to buy pressure on GVT.
  • A new leveling system is being developed that rewards managers based on individual performance rather than creating competition between one another
  • Funds are extremely underrated
  • Some did not agree, but the addition of the multicurrency wallet was the BEST step to take. This will allow for further adoption of the platform and growth in the long run, some of you have seen this as a negative step because you are under the impression it has caused the price in sats to go down. I would like to see more assets added to the multicurrency wallet, not less.
  • The token has solid use cases & if you see the latest AMA their are discussions for additional use cases. These usecases scale heavily with adoption.
I check their Github daily. They are building out this platform making more tools and brokers available, which will only lead to increased adoption by Crypto/Forex Managers & Investors.
Then the marketing comes after the development is complete and the platform is perfected
  • We will see hundreds and in time thousands of managers longer term. If we take a conservative guess and say 20% of these managers are making profit, all this profit will flow through the GVT token. There is now only buy pressure on the token, the sell pressure was removed with the addition of the multicurrency wallet.
  • Some of you have previously said 'Well wont the investor just sell their profits distributed in GVT?'. Of course they can, if they choose too. But alternatively they can also hold GVT for reduced trading fees, reinvest their GVT to another program, invest in a GV Fund, subscribe to a copy trader using GVT as the subscription fee. The latter again, positively effects the Genesis Vision Token.
Heres my other reasons (Yes i've been watching GVT a long time):
submitted by elcryptonerd to genesisvision [link] [comments]

Trading in South Africa

Stock Market Dynamics are here to turn your dreams into reality with forex courses. We offer Forex Trading Courses and help all our clients with online trading in South Africa. We are here to ensure that you don't have to walk down the wrong financial path.
When it comes to Foreign exchange trading also known as Forex Trading, Stock Market Dynamics strive and are passionate about creating nothing but the best forex traders in South Africa. We are here to help our all clients learn to trade in South Africa so that we can help not only the individuals themselves but the economy as a whole.
Stock Market Dynamics has been helping individuals become successful forex traders in South Africa since 2017 when the company was founded.
CFD Trading
Contract for difference also known as CFD trading in South Africa allows a person to take position on the price of a specific instrument without owning the actual underlying asset. The nice thing about CFDs is that they are not time-sensitive, CFDs can not and will not expire. This means that a position will not expire unless the position is closed out. The biggest selling factor of CFD trading is that they enable you to profit from not only rising markets but also falling ones. Stock Market Dynamics is arguably one of the best CFD trading platform in South Africa among the many CFD trading platforms in South Africa. Why wait on shaping your financial future?

Buying Shares in South Africa
Are you looking into buying shares in South Africa? Stock Market Dynamics offer the best share trading courses and can help you get on your feet and on the fast track to share trading success. We will teach you everything you need to know about shares and how to buy shares in South Africa. One thing Stock Market Dynamics live by is - Buy low, sell high.

Learn to Trade
Do you want to learn how to trade forex in South Africa? Stock Market Dynamics is known as one of the best online trading platforms in South Africa. Stock Market Dynamics was founded in 2017 by Mr. Werner Crous and ever since we have had multiple success stories from all our happy clients. You deserve nothing but the best training to shape your financial future.
submitted by StockMarketDynamics to u/StockMarketDynamics [link] [comments]

We built a fee solution for you, and are looking for feedback.

Hey guys, I'm from a company called Morpher. Our goal has been to use blockchain to solve different financial issues, and most notably figure out how to make trading better. My own vendetta however has been to make daytrading more feasible.
I traded for a long time across lots of markets; I've done outright equity trading, options trading, Forex (A Booked and B Booked).
Retail investors face a lot of obstacles in trading; big spreads, high fees, and limitation with time.
Only with Morpher can you short TSLA on a Saturday afternoon with $5.
Now we launched our virtual trading. Got some nice press from Forbes and Cointelegraph earlier this year. What we really want to do next is to work with traders so that we can improve our platform and add all the features that you want to see. We've built the bare bones, and now tell us what we can do to make this perfect! Heres the link to check out: Morpher.
submitted by AnalogTechie to Daytrading [link] [comments]

What is CFD Trading?  A Beginner's Guide to Contract For ... Equities vs CFDs: What’s the Difference? - YouTube Understanding CFDs - contract for difference- - YouTube What Are CFDs? - YouTube KiseFX ® Differences CFD with Forex Meaning - YouTube Mastering Trend Trading for CFD & Forex Trading

A contract for differences (CFD) is a marginable financial derivative that can be used to speculate on very short-term price movements for a variety of underlying instruments. CFD trading and Forex trading have many similarities. First, both types of trading involve a similar trade execution process. Traders can easily enter or exit the market in both rising and falling markets. Second, both CFD trades and Forex trades are executed on the same platform, using similar looking charts and pricing methods. In both cases, trades are executed in the over-the-counter (OTC ... We then compared CFD vs forex together and took a look at their similarities. While they have a lot of similarities, they do have crucial differences between them. CFD forex trading is slightly different from spot forex trading and we listed their differences. Finally, we went through the advantages of CFD forex trading. A CFD trading system, on the other hand, allows you to trade both long and short, meaning you can profit in both rising and falling markets. In a long CFD trade, the trader thinks that the value of an asset will increase. So they open a 'buy' trade at a lower price and then sell (or close the trade) at a higher price for a profit. (If the market turns and the price decreases, the result will ... Both CFD and forex trading avoid the transfer of physical assets. They both trade over the counter (OTC), meaning that their transactions are decentralised and take place through a network of financial institutions. Their trades are also typically executed the same way. Further, they trade through the same platforms, which has prompted some service providers to offer platforms traders can use ... I suppose you mean this: Contract for difference . I think the Wikipedia article on this is quite self-explanatory. Just read the first paragraph and that should be good enough. There is also a post on Investopedia explaining the term - Contract F... CFD trading Meaning . A CFD stands for contract for difference, is a type of derivative that enables you to trade on margins and leverage. This, therefore, provides you greater exposure to financial markets, such as trading on gold, commodity, forex, cryptocurrency, stock indices, etc. When you trade CFDs, you simply buy and sell units of the primary asset. Individuals usually buy or sell if ...

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What is CFD Trading? A Beginner's Guide to Contract For ...

Everyday experienced traders are moving from futures and forex trading to CFD’s. New traders are learning how easy it is to begin trading CFDs and why it req... Learn To Be A Swing Trader – 2 week series – class 1 - Forex, CFD & Stocks - Duration: 53:14. Investor Trading Academy 123,043 views. 53:14. Candlestick charts: The ULTIMATE beginners guide to ... Check out my gear on Kit: https://kit.com/KiseFX Trading™ 🔔 Differences CFD with Forex Meaning by Kise FX. ( Forex and CFD Difference ) 🔴 #KiseFX #Trader #... Stock trading can take many forms and many traders confuse the two main types: Equity trading (also known as trading real stocks) and CFD trading (or buying ... Ever wondered what is Contract for Difference (CFD)? Choon Kit, a Phillip CFD Dealer, bring us through the intricacies of CFDs. What is it exactly? How do yo... Learn about contracts for difference! Your capital is at risk.

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