What is Stock CFD Trading?

In general, CFD, Contract for Differences, is an agreement between a seller and a buyer. It comprises a condition that the seller or the buyer would pay the price difference between the current value of an asset and the future value of the asset.

In Stock CFD Trading, you don’t need to actually buy or sell a stock. Just choose whether a stock’s value will increase or decrease.

• If you choose that a stock’s value will increase, you are in Stock CFD Long position.
• If you choose that a stock’s value will decrease, you are in Stock CFD Short position.

Why trade Stocks CFD?

• Instead of a full capital outlay, each position only requires a small margin
• Unlike traditional stocks trading, stocks CFD can be shorted to take advantage of falling prices
• Trade major companies’ stocks from leading exchanges
• Mitigate risks by hedging other portfolios with leverage

How is money made through Stock CFD Trading?

In Stock CFD, you can profit through rightly speculating on the price movements of a stock. You don’t have the risk of owning the stock, as you are only guessing the price movement. The prime focus is only on the price change during the trade exit and entry of that particular stock.

For those who choose Long position in Stock CFD:

• Note down the current value when you get into the contract. (Value Point 1)
• Observe the market.
• If the value of that stock goes up, note down that value. (Value Point 2)
• Close your CFD contract.
• Withdraw the difference between Value Point 1 and 2
• That difference is your profit.

For those who choose Short position in Stock CFD:

• Note down the current value when you get into the contract. (Value Point 1)
• Observe the market.
• If the value of that stock decreases, note down that value. (Value Point 2)
• Close your CFD contract.
• Withdraw the difference between Value Point 1 and 2
• That difference is your profit.

If it closes in profit, you will get paid. If it closes in loss, you will pay the difference.

Key Advantages of Stock CFD Trading:

• No risk of buying, owning and selling a stock
• Get an option to choose both positions: short and long
• Trade even when the market is crashing
• Trade even when the market is booming
• Benefit from the market at any given point of time
• Globally trusted

What makes MintCFD the best platform for Stock CFD Trading?

• Zero Brokerage fees
• Choose from hundreds of Stock CFDs
• 100x Leverage: 100x of your deposit amount can be used for trading. With smaller capital, trade larger units.
• Simpler to understand
• Safer to execute
• Tight spreads
• Get access to best intraday stocks & top intraday stocks
• Best bluechip stocks are open

You can start Stock CFD Trading, by opening your free account in just 4 minutes. You are just one click away from joining the best site for stock CFD trading.