Indices Spread Betting

By mosesbet · Filed Under Spread Betting Comments Off on Indices Spread Betting 

Indices Spread Betting

Trading on major international stock markets like the FTSE 100 and Dow Jones is very common these days.  There is so much news, blogs and resources analysing these markets that it is very easy to find information and learn how to trade properly.  Of course I’m not saying trading on indices is easy, but because of the openness and transparency of these markets, it is much easier to see trends and predict how a certain externality will affect the indices in general.

Popular Financial Stock Exchanges:

  • FTSE
  • NYSE
  • DowJones
  • Tokyo Stock Exchange
  • Euronex
  • Nikkeix
  • DAX
  • NASDAQ
  • Toronto Stock Exchange
  • SIX

If you have a particular sector of interest, such as finance, manufacturing or mining, you can pick an appropriate market too.  For example, mining plays a big part in the UK and Australian markets.  Likewise, if your interest lies in manufacturing than you might be interested to take a look at German’s DAX index – which comprises of many manufacturing firms such as BMW and Audi.  The price of relevant commodities, for example steel, in the automobile industry may lead to an average drop in share prices. In Japan, the Nikkeix financial markets would take a big hit if there were big rises for factory labour forces in South East China, where a lot of electronics components are put together.  Taking a “sell” position on the Nikkeix would be a good idea if this were to happen.  You can now picture clearly how everything becomes related…

Of course, when it comes to trading on the FTSE and other main indices, what’s most important is knowing where to find information.  A number of great resources and spread betting blogs exist for this reason, including www.ft.com/markets and www.digitallook.com

You have to decide what your strategy will be when spread betting on the FTSE before you risk any money.  If you prefer to trade/bet based on fundamentals than Digital Look is good and has a lot of free regularly updated information on trends and patterns.  On the other hand, for technical analysis (graphs and hardcore data) you can find some bits and pieces offered by platforms such as Tradefair, along with spread betting books and trading journals on the internet.  Whatever strategy you take, you always have to keep in mind the massive risks that come with spread betting and trading on financial indices.  If you’re simply “gambling” without knowing what you’re doing or making bets without any analysis then you are guaranteed to lose money.

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