Finspreads: Three Styles of Financial Spread Betting - Finspreads

Spread betting can take many forms. While some traders keep spreads rolling over several days, others buy and sell in the space of a few hours, or even minutes. Financial spread betting provider Finspreads (http://www.finspreads.com/) presents an overview of three popular trading styles:

Day Trading

Day trading means never holding your spread betting positions for longer than a day – and never overnight. Day traders tend to place numerous spread bets during the day, focusing on narrow spreads and markets with plenty of movement. Spread betting in this way can be time-consuming and requires close market analysis (whether fundamental, technical or a combination of the two) to select appropriate stocks and positions.

Position Trading

Position traders place spread bets for the long term, holding them for weeks or months on end. This style of financial spread betting relies on long-term fundamental analysis of a stock to determine the market’s eventual direction. Once a trader is convinced that a stock is in a trend and at an appropriate price, they will open a position and ignore any short-term fluctuations in the hope of making a significant profit over a longer period unless they reach their stop loss.

Swing Trading

For the swing trader, spread betting is about mining the markets to find stocks which have the potential to move significantly in a relatively short space of time, which can be anything from a couple of days to a couple of weeks. Swing traders are similar to day traders in that both seek to profit from a financial spread bet with a fast turnaround, but swing trading requires greater technical analysis to single out the stocks with the most generous price momentums on a short-term basis.

To learn more about spread betting, try a free Finspreads trading seminar:

http://www.finspreads.com/learn_to_spread_bet/spread_betting_seminars.aspx

Spread betting is a leveraged product which can result in losses greater than your initial deposit. Ensure you fully understand the risks.

About Finspreads

Finspreads is a leading online financial spread betting firm, offering access to thousands of instruments on the world’s financial markets. We pioneered fully interactive online spread betting in 1999 and we continue to invest in technology to ensure that our service remains amongst the market leaders.

We focus on delivering quick and easy access to the tools and information our customers need to make their trading decisions, act on them, then monitor their performance. We also offer a comprehensive education and support package to help our customers understand the opportunities offered by spread betting.

As a result of our commitment to price transparency, trading education, and great customer support, we have attracted tens of thousands of traders ranging from beginners through to those with decades of experience. For more information go to http://www.finspreads.com/.

Finspreads is a trading name of City Index Limited, one of the world’s largest providers of derivative trading services for retail investors. Visit http://www.cityindex.co.uk/ for more information.