CFD TRADING IN A FEW SIMPLE WORDS 1
TABLE OF CONTENTS: What Is Online Trading? 03 Forex 04 CFDs 05-06 Start Trading CFDs 07 What Exactly is Leverage 08-09 Pips 10 What Should I Invest in? 11 How to Open a Trade 12 How Do I Start Trading With Opteck 13-14 The Benefits of Trading With Opteck 15 2
WHAT IS ONLINE TRADING? Online Trading simplifies the investment experience and gives ordinary people the ability to profit quickly and easily from buying and selling world-class financial assets via user-friendly Online Trading platforms. Over the last ten years, trading online has become wildly popular across the globe because of its many benefits. Online Traders never have to worry about the high fees charged by traditional brokerages and they can learn to profit on top financial products like stocks, commodities, indices and Forex in a matter of days. At Opteck, you can also become an online trader. We ll take you through every step of the process, give you advanced trading tools and tips, and coach you 1-on-1 until you re comfortable making profitable trades on your own. What is online trading? 3
Forex Forex is short for Foreign Exchange and is the market where currencies are bought and sold. The Foreign Exchange market is accessible to anyone, 24 hours a day, and is the biggest in the world, with over USD 5 trillion traded daily. How does Forex trading work? Let s make it easy: a Forex trade happens anytime one currency is bought or sold for another. So let s say you want to travel to the US, where the currency is Dollars. You take 1,000 Euros and buy Dollars instead. In online trading, currencies are always sold in pairs and at Opteck, you can trade over 50 of the world s top currency pairs, including the EUR/USD, GBP/USD, and USD/JPY. The Benefits of Trading Forex Later that day, you decide you don t want to go to the US, so you sell the Dollars you bought in exchange for Euros again. You end up with 1,100 Euros, which earned you a profit of 100 Euros. Anyone can trade Forex online like a professional. It s easy and gives you the chance to earn real profit buying and selling currencies in a matter of just minutes. You just made a successful Forex trade - bought your Dollars at low rate and sold them back at higher rate that gained you a profit. When you trade Forex online, Tap into the largest and most liquid market in the world and we ll show you how you can protfit whether the market s going up or down. you do the same - buying and selling currencies with the aim to profit on the difference between the buy and sell rates. Trade from home with our web platform, or on-the-go with our easy-to-use mobile app. forex 4
CFDs CFDs (Contracts for Differences) give ordinary people access to worldwide markets and the ability to invest online. Best of all, CFDs make it easy to profit by trading hundreds of assets from around the worldassets like Gold and Oil or stocks like Google, Apple and many others. Before online CFD trading, people had to go through traditional and expensive brokerage firms and banks to make the same investments. The benefits of Trading CFDs There are many reasons to trade CFDs. But the first is the opportunity to tap into almost any market in the world. Since CFDs are typically traded online, traders get the chance to open trades on assets that aren t available for trading in their country. At Opteck, you can trade hundreds of assets from all over the globe, including currency pairs, stocks, commodities and indices - all in one place on our advanced trading platform. CFDs 5
The second biggest advantage of trading CFDs is it saves you money. Trading CFDs gives you the ability to open trades on tons of top assets without having to pay huge margins (commissions). Let s say you want to invest in 100 shares of a specific stock and each share costs $10. It would cost you $1,000 to invest in 100 shares. If you worked with a traditional brokerage firm, they would request a margin (commission) of close to 50%! Online CFD brokers typically don t. In fact, Opteck doesn t charge any commission at all, and instead works with fixed, low-cost spreads on every asset. WHAT S A SPREAD? GREAT QUESTION! It s the difference between an asset s buy and sell prices. With the advantage of leverage added to all these other benefits, Opteck traders can open trades up to 200 times more than they would be able to with a traditional brokerage firm - and get the chance to earn up to 200 times more profit. If a stock s price is set at $10, trading 100 shares would require you to invest $1,000 with a traditional brokerage firm. But with Opteck s 20:1 leverage on stocks, you can multiply your investment by 20. Meaning, with the same $1,000 at Opteck, you can open trades on shares worth $20,000 and boost your profit. CFDs 6
Start trading CFDs Starting to trade CFDs is really easy, especially since most CFD brokers are based online. The most important part is making sure you choose the broker that s best for you. Important things to look for when choosing a broker: Make sure the broker is fully regulated The broker should offer a comprehensive trading education program Your broker should offer a large variety of assets to choose from At Opteck, you ll get the advantages of trading with a fully regulated and licensed* broker, 1-on-1 personal training with our trading specialists, and a full trading education program, plus access to our growing selection of currency pairs, stocks, commodities, and indices. To start benefiting, all you have to do is to login to your trading account, make a deposit, and start trading on your favorite assets. It s that easy! * Regulated by IFSC (International Financial Services Commission) to ensure your information and all trading activities follow the strictest security standards. CFDs 7
what exactly is LEVERAGE? Understanding leverage is as easy as understanding simple multiplication. By leveraging your trades, you can increase your trading margin by hundreds of times and open larger and more profitable trades while investing significantly less than the trade would typically would require. Opteck offers up to 1:200 leverage on currencies & commodities, up to 1:100 on indices, and up to 1:20 on stocks. That means for every $1 you invest in currencies, WE LL GIVE YOU $200 TO TRADE WITH. Close at Loss & Close at Profit Oders Trading online definitely gives everybody the opportunity to earn real profits quickly and easily and has tons of advantages. But it s also important to understand that trading online comes with the same risks as traditional forms of investing. This is why we offer a number of advanced trading tools to help manage your risk and protect your capital. What is Leverage 8
Close at Loss Order Close at Profit Order One of the best and most important of these tools is the Close at Loss Order. Close at Loss is most often used when you open long-term trades on assets. The Close at Profit Order is the opposite of Close at Loss, but works in a very similar way. With Close at Profit, you can set a limit for when to close a trade, depending on how much profit you It allows you to automatically set your would like to make. trade to close at a set amount, when your open trade hits a certain asset rate. But why would you close a profitable trade? Close at Profit is usually used for By setting a Close at Loss, you can make sure you won t lose more than you are willing to risk, in case an asset changes direction. opening short-term trades, which can be highly volatile. Setting a Close at Profit limit can help you protect your trade and close it automatically once you ve reached your profit goal At Opteck, we recommend using the (a certain asset rate). Close at Loss Order on every trade. This way, you can take what you ve earned and record a profit before the trade reverses. Close at Loss and Close at Profit Orders are some of the most important risk management tools you ll use when trading online. We always advise our traders to set both before executing a trade, to prevent unwanted losses. What is Leverage 9
PIPS Pips are the smallest price change a currency can make, and since most currency pairs are priced down to the fourth decimal point, the smallest change is that fourth point. For example, let s say the EUR/USD is priced at $1.0986. This means that 1 is equal to $1.0986. If the exchange rises to $1.0995, it would have risen by 9 pips. $1.0986 - $1.0995 = $0.0009. PIPS 10
What Should I Invest In? FOREX or CFDs? That s an excellent question! It s really up to you. When you start trading Forex or CFDs online, you re automatically giving yourself the opportunity to earn real profit just like any professional trader. And professional traders invest in what they feel most comfortable with. The choice is yours from stocks and commodities to our selection of 50 first-rate currency pairs. At Opteck, our top priority is your success. And the first step towards success is getting you comfortable with the market and building a successful trading strategy. That s why all Opteck traders work 1-on-1 with our dedicated trading specialists. You ll also get to practice trading on any of our assets with a $10,000 Demo Account, and get access to an incredible suite of professional trading tools, including real-time price alerts, analytical charts, full access to our Trader s Choice Asset Popularity Bar, and much more. How to open a Trade 11
HOW TO OPEN A TRADE All it takes is a few easy steps: 1 2 3 4 1. 2. 3. 4. Choose the asset Choose how much Define your Close Click Buy or Sell you want to trade you want to invest at Profit and Close at Loss Orders Or Choose our ONE CLICK option and automatically open a trade with a predefined Investment Amount, Close at Profit and Close at Loss Orders. How to start trading 12
How do I start trading WITH OPTECK - OR - Trading with Opteck is easy. Just fund your trading account with as little as $250 and start trading right away. Get our training package, developed especially for beginners, and start trading in a matter of days. 1. Click here to Login to your account at Opteck 1. Click here to Login to your account at Opteck 2. Make a Deposit 2. Make a deposit to activate your account 3. Start trading 3. Get your Free Training Package and start trading in a matter of days Activate your trading account to receive your training package FOR FREE. Our unique trading package 13
OUR UNIQUE TRAINING PACKAGE for beginners includes: Our ebook Trader Guide to help you understand the market basics A 1-on-1 training session with one of our trading specialists who ll work with you to build a successful trading strategy A $10,000 Demo Account to help perfect your trading technique without risking any of your own money The benefits of Trading with Opteck 14
THE BENEFITS OF TRADING WITH OPTECK At Opteck, we re all about giving you the flexibility to trade Forex and CFDs online in the best way possible. It s easy Trade with power And it s flexible. Choose the account that works best for you, fund your account, and start trading. Boost your profits by using leverage of up to 1:200 on currencies and commodities, 1:100 on indices, and 1:20 on stocks. First-class education You re in control and training Manage your investments with advanced Learn everything you need to know about the market when you work 1-on-1 with our trading specialists. Practice trading and build a successful trading strategy with our $10,000 Demo Account. trading tools like Close at Profit & Close at Loss Orders, One-Click trading, and real-time market quotes and price alerts. And trade anytime, anywhere with our web platform, or download the app for ios and Android mobile devices. Choose the asset that s right for you Know your trading is secure Invest in hundreds of instruments across multiple markets, including stocks, commodities, indices, and Forex - with top currency pairs like EUR/USD and GBP/USD- and world-class stocks like Google and CocaCola. Plus, get full access To ensure only the highest quality trading conditions and most secured trading environment, Opteck is a fully registered and licensed online broker under IFSC (International Financial Services Commission). to our Trader s Choice Asset Popularity Bar, the tool that lets you monitor trader sentiment and trends in real time. 15