What is CFD trading?
CFD stands for contract for difference. CFD trading is a way to trade stock without actually owning the stock. There are two types of CFD trading: spread bets and binary options. Spread betting is when an investor places one bet with a broker and receives multiple bets in exchange. Binary options is when the investor selects a yes or no option on a certain outcome, such as the price of a stock or commodity going up or down. CFD trading is a type of financial trading.
It looks like stocks and shares, but instead of looking at the price of the share, you are buying a contract that gives you the right to buy or sell a stock at a certain price. In this way, you can make money if the share's value goes up and lose it when it goes down. CFD trading is a type of trading where you can trade curre...