+1000% in a couple of weeks

Discussion in 'Journals' started by Dharmakaya, May 1, 2010.

  1. Trading S&P500 through Cfd´s.

    I´m trying to be "all in" with a tight stop..
  2. What's the possible loss?

    (what's a CFD? Is that one of those things they have in Australia?)
  3. markcfd


    Contract For Difference Basically the same as buying the underlying but you have leverage anywhere from probably 2:1 - 20:1 on stocks and 100:1 i believe on indexes.
    They are in Australia and the UK and maybe elsewhere aswell
  4. It's something they allow to trade in FREE markets ;-)

    In your face United Slaves of America
  5. Margin call.
  6. Not really. CFD's grew in popularity as a way to get around the UK stamp duty, a transaction tax on equity trades. They initially existed in response to an unfree market.

    We have them in Canada, but they don't impress me at all. I prefer futures trading through U.S brokerages, for many reasons.

    To the OP: You'll be getting to know your brokers risk department.
  7. Yet another stupid journal with pipe dreams.
  8. markcfd


    I'm currently swing trading with CFD's and i am not leveraging myself up much at all, but it scares me that in the rare event of a huge gap against me (I dont hold over earnings anouncements) i could potentially get almost wiped out overnight.
    Needless to say i intend on moving to options soon to cap my max potential loss in an armageddon type situation.
  9. We need a gambling for dummies section on ET.

    Threads like this would all be moved there, and every new thread would be auto-ignored for all...

    But bots would auto-generate random responses to make new posters like this feel they are being listened to...
  10. :)

    I don´t recommend Cfd´s over futures. I guess the spread is larger and maybe some firms even trade against you.

    I don´t recommend "all in" if you don´t know what you are doing. Without money management you WILL lose everything.

    I don´t have a big fat wallet so i have to swing with my huuuge .... instead..

    Trying to build a capital i mean..
    If one already have $76378083 then what´s the point with taking risks?

    With futures you can´t lose more than what´s in the account. With Cfd´s you can owe them money if something happens. That´s what the papers say at least. I guess it´s just a way around laws and difficult to make reality of. They would not get a $ from me.
    Just wanted to mention it.
    #10     May 2, 2010