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Guide to Spread Betting on Glencore Xstrata

Where to Spread Bet on Glencore Xstrata?

 
You can spread bet on Glencore Xstrata with any of the following companies:

Although note that you can also spread bet with other Spread Betting Companies.

Spread Betting on Glencore Xstrata

 
If an investor decides to speculate on firms like Glencore Xstrata then one option is to spread bet on the Glencore Xstrata share price.

Looking at a site like FinancialSpreads.com, as of Friday, they were showing the Glencore Xstrata Rolling Daily market at 345.5p – 346.1p. This means an investor can spread trade on the Glencore Xstrata share price:

  • Increasing higher than 346.1p, or
  • Decreasing lower than 345.5p

Whilst spread betting on UK equities you trade in £x per penny. As a result, if you decided to invest £5 per penny and the Glencore Xstrata share price changes by 30p then that would make a difference to your profit/loss of £150. £5 per penny x 30p = £150.

Rolling Daily Shares Markets

 
Be aware that this is a Rolling Daily Market and so unlike a normal spread betting futures market, there is no closing date. If a trade is still open when the markets close at the end of the day, it will roll over to the next trading day.

If your bet does roll over and you are speculating on the market to:

  • Move higher – then you usually pay a small overnight financing fee, or
  • Move lower – then you’ll usually receive a small credit to your account

You can find more on Rolling Daily Markets, as well as a fully worked example, in our feature Rolling Daily Spread Betting.

Glencore Xstrata Rolling Daily Equities Spread Betting Example

 
If you think about the above spread of 345.5p – 346.1p and assume:

  • You have completed your analysis of the stock market, and
  • Your analysis leads you to feel the Glencore Xstrata shares are likely to go above 346.1p

Then you might decide that you are going to go long of the market at 346.1p for a stake of £15 per penny.

So, you win £15 for every penny that the Glencore Xstrata shares rise higher than 346.1p. Nevertheless, it also means that you will make a loss of £15 for every penny that the Glencore Xstrata market decreases lower than 346.1p.

Looked at another way, if you buy a spread bet then your profit/loss is worked out by taking the difference between the closing price of the market and the price you bought the spread at. You then multiply that difference in price by your stake.

Therefore, if after a few sessions the shares started to rise you might decide to close your position and therefore guarantee your profits.

So if the market increased then the spread could change to 356.5p – 357.1p. To close your trade you would sell at 356.5p. So, with the same £15 stake this trade would make you a profit of:

Profit = (Closing Value – Opening Value) x stake
Profit = (356.5p – 346.1p) x £15 per penny stake
Profit = 10.4p x £15 per penny stake
Profit = £156.00 profit

Speculating on shares, by spread trading or otherwise, is not straightforward. With this example, you had bet that the share price would increase. Naturally, it could go down.

If the Glencore Xstrata share price began to drop then you might choose to close your position to stop any further losses.

Should the spread drop to 334.9p – 335.5p then this means you would close your spread bet by selling at 334.9p. Accordingly, your loss would be:

Loss = (Closing Value – Opening Value) x stake
Loss = (334.9p – 346.1p) x £15 per penny stake
Loss = -11.2p x £15 per penny stake
Loss = -£168.00 loss

Note – Glencore Xstrata Rolling Daily spread betting price taken as of 17-May-13.

Live Glencore Xstrata Spread Betting Prices and Charts

 
The CFD chart and prices below gives readers a nice guide to the Glencore Xstrata market.

The Plus 500 chart above normally shows the Glencore Xstrata futures price.

To study live spread trading prices and charts for Glencore Xstrata, you can use a spread trading account.

A spreads account also lets you access shorter term spot prices. Readers should note that all such accounts are subject to status, suitability and credit checks.

Should your account application be accepted, you can log in and make use of the real-time charts and prices. Usually, these are free. So what’s the catch? You are likely to receive an occasional sales letter and/or call from your spread trading provider.

Glencore Xstrata Spread Betting – More Details

 
For more information on trading Glencore Xstrata, also see Glencore Xstrata Spread Betting.

Spread betting carries a high level of risk to your capital. You may lose more than your initial investment. It may not be suitable for all investors. Only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved and seek independent financial advice where necessary.

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Guide to Financial Spread Betting on Aviva Shares

Where to Spread Bet on Aviva?

 
You can spread bet on Aviva with any of the following companies:

Although note that you can also spread bet with other Spread Betting Companies.

Spread Betting on Aviva

 
If an investor is looking to invest in UK listed companies such as Aviva then one solution could be to spread trade on the Aviva share price.

Looking at a site like InterTrader, as of Friday, they were showing the Aviva Rolling Daily market at 341.5p – 342.1p. This means an investor can spread trade on the Aviva share price:

  • Going higher than 342.1p, or
  • Going lower than 341.5p

When financial spread betting on UK shares you trade in £x per penny. So, if you risked £4 per penny and the Aviva share price moves 30p then that would change your profits (or losses) by £120. £4 per penny x 30p = £120.

Rolling Daily Equities Markets

 
Note that this is a Rolling Daily Market and therefore in contrast with futures markets, there is no closing date. You do not have to close your trade, should it still be open at the end of the trading day, it will stay open and roll over into the next day.

If a trade is rolled over and you are spread betting on the market to:

  • Increase – then you’ll often be charged a small financing fee, or
  • Decrease – then you will normally receive a small credit to your account

You can find more on Rolling Daily Markets, as well as a fully worked example, in our feature Rolling Daily Spread Betting.

Aviva Rolling Daily Equities Trading Example

 
Now, if you think about the above spread of 341.5p – 342.1p and assume that:

  • You have completed your research, and
  • Your analysis suggests that the Aviva share price will rise higher than 342.1p

Then you might decide to go long of the market at 342.1p for a stake of £10 per penny.

So, you gain £10 for every penny that the Aviva shares move above 342.1p. Having said that, such a bet also means that you will make a loss of £10 for every penny that the Aviva market decreases lower than 342.1p.

Looking at this from another angle, should you buy a spread bet then your profits (or losses) are calculated by taking the difference between the closing price of the market and the initial price you bought the market at. You then multiply that difference in price by your stake.

If after a few hours the stock started to rise you might decide to close your spread bet so that you can guarantee your profit.

So if the market rose then the spread might change to 354.1p – 354.7p. To settle/close your trade you would sell at 354.1p. So, with the same £10 stake your profit would be:

P&L = (Final Price – Opening Price) x stake
P&L = (354.1p – 342.1p) x £10 per penny stake
P&L = 12.0p x £10 per penny stake
P&L = £120.00 profit

Trading equities, whether by spread trading or otherwise, may not go to plan. In the above example, you wanted the share price to rise. However, the share price might go down.

If the Aviva shares had started to drop then you might decide to settle/close your position in order to limit your losses.

So if the spread fell to 331.8p – 332.4p then this means you would settle/close your trade by selling at 331.8p. If so, that would mean you would lose:

P&L = (Final Price – Opening Price) x stake
P&L = (331.8p – 342.1p) x £10 per penny stake
P&L = -10.3p x £10 per penny stake
P&L = -£103.00 loss

Note: Aviva Rolling Daily equities market quoted as of 17-May-13.

Live Aviva Spread Betting Prices and Charts

 

The CFD chart and prices below offers a helpful look at the Aviva market.

The Plus500 chart above is normally based on the near-term Aviva futures contract (not the daily market).

If you want to review spread betting charts and prices for Aviva, you may require a spread betting account.

A spreads account also lets you trade on shorter term daily markets. Users should note that opening such an account is subject to credit, status and suitability checks.

If your application is approved, you can log on and access the real-time charts/prices. On most platforms, these will be provided as part of the service, however, you will probably get an occasional sales email and/or letter from your spread betting company.

Aviva Spread Betting – More Details

 
For more information on trading Aviva, also see Aviva Spread Betting.

Spread betting carries a high level of risk to your capital. You may lose more than your initial investment. It may not be suitable for all investors. Only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved and seek independent financial advice where necessary.

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Financial Spread Betting Video: Can Stock Markets Keep Hitting New Highs Despite Mixed Economic Data?

Financial spread betting video considering stock market indices hitting all-time highs despite mixed economic data, moves in the Australian dollar after the RBA rate cut and CMC Markets’ client sentiment.

Michael Hewson and Jamie Cole of CMC Markets discuss:

  • Dow Jones, S&P 500 and DAX 30 hitting all-time highs despite mixed US data
  • Australian dollar – US dollar dropping out of recent range on RBA rate cut
  • Gold breaking lower and targeting retracement levels
  • Next week’s upcoming economic data including the FOMC and BoE minutes

 

Spread Betting & CFD trading carry a high level of risk to your capital and you can lose more than your initial deposit. Only speculate with money that you can afford to lose. These trading products may not be suitable for all investors so seek independent advice.

Video content by Michael Hewson of CMC Markets

The contents on CleanFinancial.com including any articles or videos are for information purposes only and are not intended as a recommendation to trade. Nothing on this website should be construed as investment advice or form the basis of an of investment decision.

Neither CleanFinancial.com nor any contributing company/author accept any responsibility for any use that may be made of the above or for the correctness or accuracy of the information provided.

Content provided by CMC Markets. CMC Markets UK plc and CMC Spreadbet plc are authorised and regulated by the Financial Services Authority in the UK, registered offices, 133 Houndsditch, London, EC3A 7BX.

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FTSE 100 Spread Betting Market Struggles as Sentiment Sours on Hawkish Fed Comments

London’s FTSE is trading flat on Friday morning at 6688.

The spread betting markets are faced with something of a dilemma presently.

Equities have been operating in a different realm to economic reality and the fact that sentiment sours on the basis of hawkish rhetoric from some US Fed members demonstrates just how dependent the current rally is on monetary easing.

Online Contracts For Difference

European markets have taken cues from their US counterparts and investors have been greeted this morning with a lower opening across the board.

The FTSE is currently flat on the day at 6688, with the 6700 level acting as a buffer to additional upside.

Royal Bank of Scotland is leading the gainers based on reports that the bank will cut 1400 jobs over the next two years. The share price has added 2.7% to trade at 327p.

The mining sector is also catching some investor interest today, most likely on bargain-hunting owing to the fairly extreme sell-off we’ve seen over the past six weeks.

The bout of poor US data yesterday has inspired some profit-taking. Yesterday’s unemployment claims and manufacturing data seem to suggest that all is not cured in the US economy.

In light of this, and given that the US unemployment rate needs to fall further before we see a tapering of QE, one could expect that we have a while to go until this is a catalyst.

Monetary Policy Committee member Martin Weale is due to speak at a conference in Birmingham this morning.

The recent revisions to both UK inflation expectations and growth is likely to arise and we could well receive some clues to future monetary policy action.

Yesterday’s price action on the FTSE 100 indicates that the 6700 level was a target.

As a result, the current bout of profit-taking and the emergence of the shooting-star candle on the daily chart may imply that a near-term correction is in the offing.

The pullbacks since mid-April have been exceptionally shallow so I think at best today, in the absence of fundamental drivers, we could expect some sideways trade.

We are expecting the Dow Jones to start 35 points higher at 15,268.

 

Spread betting carries a high level of risk to your capital. You may lose more than your initial investment. It may not be suitable for all investors. Only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved and seek independent financial advice where necessary.

Financial Market Comments from Brenda Kelly, Senior Market Strategist, IG Index.

The above comments do not constitute investment advice and Clean Financial accepts no responsibility for any use that may be made of them.

Content provided by IG Index which is Authorised and regulated by the Financial Services Authority. FSA Register number 114059.

Clean Financial - Spread Betting

 

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The Poor Rate of Recovery and Continuing Economic Stimulus

Below, a trading video which takes a look at the current macro economic data.

Hannah Slowther of Capital Spreads, is joined by Bill Hubbard, Chief Economist of Markets.com, to consider:

  • The poor rate of recovery and inflation
  • At least one more ECB rate cut
  • Another £25bn of stimulus from the BoE
  • The US Fed continuing with its stimulus programme for the rest of 2013
  • The slowing Chinese economy

 

Spread Betting & CFD trading carry a high level of risk to your capital and you can lose more than your initial deposit. Only speculate with money that you can afford to lose. These trading products may not be suitable for all investors so seek independent advice.

Video content by Capital Spreads.

The contents on CleanFinancial.com are for information purposes only and are not intended as a recommendation to trade. Nothing on this website should be construed as investment advice.

Neither CleanFinancial.com nor any contributing company/author accept any responsibility for any use that may be made of the above or for the correctness or accuracy of the information provided.

Content provided by Capital Spreads which is Authorised and regulated by the Financial Services Authority. FSA register number 3218125.

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