Range of Markets

Financial CFD Markets Explained

We have collated a detailed description of all our financial CFD markets, providing you with detailed market and trade information plus descriptions to explain more about each particular instrument.

USD/CHF, Dec

forex - USDCHF
Currency
From 8
(Shares only)
1
13/12/2024
2300-2200
0.5
0.0002
1 x stake
NTR: Contracts % *
0 - 286
.50
286 - 573
2.50
573 - 1,146
5.00
1,146 +
15.00
Limited Risk NTR: Contracts % *
0 - 286
3.33
286 - 573
5.00
573 + 0
15.00
Spread Premium: Contracts Multiplier
0 - 386
1
386 - 772
1.5
772 - 1,286
3
1,286 +
20
Mar, Jun, Sep, Dec

*When placing a new trade the NTR Multiplier is calculated from the mid-point of the current price. E.g. if a share is currently trading at 199.7 – 200.3 with an NTR multiplier of ‘10% of the current price’ then the NTR Multiplier at that time will be 20 (10% of 200). Once you have an open position in a market, if that position is a buy it will be marked to the current bid price and therefore the NTR Multiplier will be calculated from the bid price. If the position is a sell it will be marked to the offer price and therefore the NTR Multiplier will be calculated from the offer price. Please note this means that NTR Multipliers will vary as the price and bid-offer spread of the market moves.


Market Description

CFD trading on the future price movements of currency pairs has grown in popularity in recent years. Forex trading allows you to trade on the value of one named currency in relation to another named currency.

The different pairings represent how many of a first named currency can be bought in exchange for a second named currency.

As is the case with FX trading, CFD trading on currencies can often be very volatile and 100 or 200 point intra-day movements are not uncommon.

For CFD trading, if you believe a first named currency will grow in value against a second named currency (therefore worth more of the second named currency in an exchange), you would buy the pairing.

If you believe a first named currency will grow weaker and fall in value against a second named currency (therefore worth less in comparison to the second named currency), you would sell the pairing.

For example, if you placed a £1 buy trade on a currency pairing with a spread of 1.3871-1.3873 and then closed out at 1.4010 you would earn £137 (14010 – 13873 = 137; 137 x £1 = £137).

But if the trade ended at 1.3751 you would lose £122 (13751 – 13873 = -122. -122 x £1 = -£122).

If you are interested in currency CFD trading or FX trading there are many influencing factors to consider. The key influences on FOREX changes are interest rates, unemployment, inflation, GDP and the trade balance of the country.


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