CFDs; Such as stocks, bonds, indices or commodities. The sources of CFD contracts, which can be processed more easily and with lower capital, can be various financial assets.
It is an investment instrument that allows you to invest in future expectations of the underlying product without having a financial product with low collateral, by connecting lower collateral than the underlying product.
At the same time, CFDs, which are an easy investment tool, are also preferred and fast because of the need for fewer collateral, allowing investors to benefit from small price changes.
CFD products are divided into futures and demand. There are no maturities in underlying assets in demand contracts. In some demand CFD products, although the underlying asset is futures, the product may be traded on demand. The difference in the CFD products in this case will be reflected to the investor as transportation cost.
WHAT IS CFD BASED ON SHARES?
Futures CFD contracts are term contracts with a starting and ending date of which is known. You can trade as much as you want in the maturity. If your position is still open when the due date is reached, it is automatically closed by the system.
WHAT ARE THE ADVANTAGES OF CFD?
It enables you to gain access to all indexes, precious metals and commodities on a single platform, easily and profitably from both the rise and fall of the market.
Gold, the basis of the money system between 1870 and 1930, played a pivotal role in the markets (1944-1973), equaling one ounce and 35 euros with the Bretton Woods System. By 1973, the gold fixed exchange instrument with the dollar was terminated, causing it to be used as part of individual savings instruments and central banks reserves. With the development of financial markets, interest in alternative investment instruments increased and demand for gold declined until 2000’s. The increase in the global risk perception during 2000s has made gold a safe port in the market.
Internationally, 1 ounce is considered to be 31.10 grams gold. In leapfrogged markets, 1 lot of gold is calculated over 100 ounces. That is, when 1 lot of gold purchase or sale is opened on the platform, it corresponds to approximately 110 grams of 3 kilograms in physics. When the gold ounce price is accepted as 1270 USD, 1 lot gold on the platform requires a collateral of 1270 USD when calculated over 1: 100 leverage.
In the world, this precious metal, which is the most important investment and payment instrument of both individuals and the general economy, has become able to invest more in recent periods. Some difficulties have been observed in physical purchases in the market, where mobility has increased in recent years.
Especially, it is known that the rising price of gold is felt more in physical purchases, but it is limited in selling gold at hand. However, the forex market offers such a system that it is possible to deal with these kinds of negatives at the same time as it can be done 5 days and 24 hours at the same time.
“Forex” is derived from the definition of foreign exchange (foreign currency) and is one of the names of the international currency market.
Forex is one of the largest financial markets in the world, trading at a volume of 4 trillion USD every day. This high daily volume is even more than the total combined daily volume of the world’s leading stock exchanges.
This transaction creates a very liquid market where trading is convenient.
Being a Forex trader offers the most amazing potential lifestyle of any profession in the world. It’s not easy to get there, but if you are determined and disciplined, you can make it happen. Here’s a quick list of skills you will need to reach your goals in the Forex market:
Ability – to take a loss without becoming emotional
Confidence – to believe in yourself and your trading strategy, and to have no fear
Dedication – to becoming the best Forex trader you can be
Discipline – to remain calm and unemotional in a realm of constant temptation (the market)
Flexibility – to trade changing market conditions successfully
Focus – to stay concentrated on your trading plan and to not stray off course
Logic – to look at the market from an objective and straight forward perspective
Organization – to forge and reinforce positive trading habits
Patience – to wait for only the highest-probability trading strategies according to your plan
Realism – to not think you are going to get rich quick and understand the reality of the market and trading
Savvy – to take advantage of your trading edge when it arises and be aware of what is happening in the market at all times
Self-control – to not over-trade and over-leverage your trading account
The shortest definition of Forex market; Taking the currency of one country, selling the currency of another country at the same time, and making a profit from the difference between buying and selling. It is a global market that is managed all over the world and can be operated online 24 hours a day, 5 days a week except weekends.
Forex, the international financial market, is the first syllable of Foreign Exchange words. In this market, which is considered as the biggest and most liquid financial market in the world, precious metals such as gold, platinum, silver, Agricultural products such as cotton, corn, soy, cocoa; Metals such as aluminum, copper; Commodities such as oil, natural gas; Stocks and stock market indices; A wide range of investment instruments, including CFDs, are traded.