Quick tutorial and CFD’s don’t mix.
You will find that all CFD companies start off with the same warning.
'CFD’s are leveraged products and bhla, bhla, bhla…' You should listen to that, take the weekend and really ponder it and come to understand what it means.
Then, where you are going to trade eventually
(PSG-online.co.za/ IG Markets.com/ (local & international access)), are good places to start with a 2-week demo account and online guidance. But don’t fool yourself, after 2-weeks you’ll probably feel very self-assured and you’ll be gently nudged by your CFD-provider to start doing real trading. I can promise you that at some stage during the next 2-weeks or so, you will make money and you will lose money but you will probably lose it all plus more before Christmas.
It’s tricky and only time (as in years) and making mistakes will eventually swing the odds in your favour. So while you’re learning (again, as in years), keep it small, don’t fund your account with huge amounts of cash,
(I did, made scary amounts in seconds but in the end I lost an obscene amount as well), keep you contracts manageable and take money off the table frequently.
And it is not like investing with shares, you have to be present and aware what is going on locally & internationally all the time whilst your contracts are open, yes sorry – including night time & weekends.
But in the end, it can be very rewarding and all the pain & tears eventually pays off. And there will be tears; just make sure it is a small sniff because you were wise enough to open only a small contract. And then, never-ever forget why you’ve lost out.
See, that’s how you learn to trade CFD's, not by tutorials.
Hope I didn’t scare you; just want to make sure you’re going into this with your eyes wide open.
Good luck.
Just thought of another common and maybe the biggest mistake newbie’s make:
Remember your CFD provider is standing directly polarized of what you’re doing. So if you go long, they go short. If you go short, they go long. Somebody’s got to lose. See the conflict of interest here? Anyway.
