Author Box
Articles Categories
All Categories
Articles Resources

The 4 Most Common Spread Betting Strategies

February 27, 2012 | Comments: 0 | Views: 110

There are several kinds and types of spread betting strategies that an investor can execute or do in order to make his or her life more convenient. However, it must be noted there is no single strategy that can fit to all kinds of scenarios in the financial trading. What this means is that there is an appropriate strategy or tactic that may be applicable or best for a specific condition or scenario. There are even some spread betting tactics that vary according to its applicability to the level of experience of the investor. Nevertheless, the main point of all of these strategies is the same. This is to make a system in a trading and then ensure more profits.

In this light, there are actually four (4) common strategies utilised that an investor should explore. These are the scalping, market trends strategies as well as the spread betting reversals and break-out tactics. These will all be discussed in the following section of this article below.

On the one hand, scalping is considered as one of the common and popular spread betting strategies. This is especially true for investors who are still in the first few stages of familiarizing the movement of the market. This is because it is a kind of strategy that is being done in order to minimize the risks from entering a specific trade. Specifically, this is being done by closing the financial positions quickly and then the investor will only take small gains one at a time. This way, the investor is less exposed from the downward fluctuations of the prices.

On the other hand, trading on the market trend is the second strategy that is commonly being executed by many investors as well. As oppose to the first spread betting strategy mentioned above, this one is being done at the whole course of the specific trading day and not just in minutes. While it may render an investor some transactions costs, the potential gains can be bigger than the first one as well.

Moreover, another tactic includes in the list of most common trading strategies is called spread betting reversals. Unlike the first one, this is not advisable for a newbie. This is because it requires analyzing the various graphical performance data of the market. The main point here is that the investors need to predict when will be the most probable or period that the market will shift or reverse its track. These had occurred in the past before; hence, the task of the investor is to predict when it will happen again.

Last, but not the least effective among the various spread betting strategies, is the break-outs strategy. This is generally characterized as a way in order to capitalize on the strong movements of prices in the market.

The author has added, that if you are interested in learning more about these particular financial spread betting strategies visit top investment portal and resource website You will find a wealth of information on spread betting on reversals, broker reviews, and up to date market news.

Source: EzineArticles
Was this Helpful ?

Rate this Article

Article Tags:

Spread Betting




Trading Strategies

Teenage rebellion is easier to tolerate in book or film form. Take a look back at some of the most well known and loved "coming of age" stories set in boarding schools.

By: Harvey McEwan l Arts & Entertainment l July 10, 2012 lViews: 444

An important thing you have to consider before working out is having a pair of great training shoes. You cannot immediately undergo any physical training wearing inappropriate footwear. If you do so,

By: Steve Hill l Recreation & Sports l July 10, 2012 lViews: 348

Granite is one natural stone that is used for several purposes from dimension stone to countertops to sculptures. The use of granite for building the temples and monuments was initiated millions

By: Steve L Patterson l Arts & Entertainment l July 10, 2012 lViews: 297

Up to 65,000 H-1B visas for new employment may be issued each fiscal year (FY) for professional workers, including medical providers. In general, a person who already has an H-1B and applies for

By: Ann Badmus l Arts & Entertainment l July 10, 2012 lViews: 308

Beside coin shooting, gold detecting or the many other things you can do with your metal detector. There is a large group of people who take their metal detector out looking for old stuff. Not just

By: Candy L Lindsey l Recreation & Sports l July 07, 2012 lViews: 293

Many people want to be writers and you may be one of them. In order to make your dream occupation a reality, you need to have a plan. You also need to work on this plan constantly. These tips from a

By: Harriet Hodgson l Writing & Speaking l July 06, 2012 lViews: 438

Binary options is a new tool used for small investment vehicles that date back to 2008. This option allows for investors to receive a fixed return or certain percent of the investment back if the

By: Denise L Lindenl Investingl June 27, 2012 lViews: 141

This article aims to aid in the education of the novice investor by looking at the concept of 'gearing' in relation to Investment Trusts. The key features of gearing are examined and the effects it

By: Andrew Jenksl Investingl June 27, 2012 lViews: 386

In the current investing climate, Investors and Financial Planners are seeking out alternative investments capable of replacing traditional income streams as low interest rates and volatility in

By: David D Garnerl Investingl June 25, 2012 lViews: 129

An investment in timber is a long-term, steady investment and an interesting option available at the moment. Investing in this type of commodity helps protect investors during these economically

By: Ian R Harlockl Investingl June 22, 2012 lViews: 223

It is the way an investor thinks that makes him a true investor, instead of a gambler. Here in this article, you will find seven key principles for investing which I have personally consolidated for

By: Peter Lowl Investingl June 21, 2012 lViews: 139

Turkmenistan has long been off limits for foreign investors, but the country has seen significant changes in the last few years. Its GDP in 2010 was $41 billion (£27 billion) and a steady growth of

By: Paul S Hendersonl Investingl June 21, 2012 lViews: 153