Sterling - Australian Dollar Spread Betting
Where Can I Spread Bet on Sterling - Australian Dollar? |
You are currently able to financial spread bet on Sterling - Australian Dollar, as well as a broad range of related financial markets, with companies like:
Advert:
Sterling - Australian Dollar Spread Betting, sponsored by FinancialSpreads.com.
You can spread bet on Sterling - Australian Dollar with
Financial Spreads.
|
Where Can I Spread Bet on Sterling - Australian Dollar for Free? |
Trading always involves an element of risk. Nevertheless, if you want to open a completely free Practice Account, where you can trial spread betting on a variety of markets, then please see below for further details.
Also, financial spread betting in the UK is currently tax free*, i.e. there is no income tax, capital gains tax or stamp duty.
If you are interested in a low cost spread trading website then note that you are able to trade Sterling - Australian Dollar without paying any commissions or brokers' fees through providers like:
Should you want to have a look at an entirely free Test Account / Demo Account so you can try spread betting, and markets like the FTSE 100, crude oil, EUR/USD and Sterling - Australian Dollar, then you could always have a look at:
Each of the firms listed above provide a free Practice Account that allows investors to practice with a host of trading orders, try out new trading theories and review charts, such as candlestick and bar charts.
Where Can I Find Live Spread Betting Prices and Charts for Sterling - Australian Dollar? |
The CFD trading chart below will provide users with a useful overview of the Sterling - Australian Dollar FX pair.
The chart above is provided by Plus 500 and usually shows the near-term Sterling - Australian Dollar futures contract.
If you want to access real-time spread betting charts and prices for Sterling - Australian Dollar, one option is to use a spread trading account.
Also, a spreads account lets you access daily markets. Users should note that opening any such account is subject to status and credit checks.
If your new account is approved, you can log on and make use of the up-to-the-minute trading charts and prices. Usually, these are free. Having said that, you might get the occasional letter and/or email from your chosen spread trading broker.
If you do decide to trade then, before starting, be aware that spread betting and CFD trading involve a high degree of risk to your funds and can result in losses that exceed your initial investment.
Advanced Charts for Sterling - Australian Dollar |
Though the charting packages tend to differ from firm to firm, to help you with your trading analysis, the charts often come with tools such as:
- A number of different time periods - 2 minutes, 1 hour, 2 hours etc
- A variety of chart types - OHLC, candlestick and line charts
- Drawing features and options - trendlines, Fibonacci arcs, fans and time zones
The charts offered by Tradefair Spreads also include advanced features like:
- BackTesting, Custom Indicators and Optimisation functions
- Numerous chart overlays - Parabolic SAR, Ichimoku Kinko Hyo, Linear Regression etc
- A selection of indicators - Relative Strength Index, Elder Rays, Volume Index etc
- Automatic alerts when the markets reach a certain level
Example forex market candlestick chart
The firms listed below provide users with live prices and charts:
How to Spread Bet on Sterling - Australian Dollar? |
As with a wide range of financial markets, you can place a spread bet on foreign exchange rates, like Sterling - Australian Dollar, to either increase or decrease.
Looking at a site like Tradefair, we can see that they are valuing the Sterling - Australian Dollar Rolling Daily market at A$1.55604 - A$1.55704. Therefore, an investor could spread bet on the Sterling - Australian Dollar pair:
 Going higher than A$1.55704, or
 Going lower than A$1.55604
Whilst placing a spread bet on Sterling - Australian Dollar you trade in £x per point where a point is A$0.00010 of the pairs movement. Therefore, if you invested £3 per point and Sterling - Australian Dollar moves 32.0 points then that would alter your profits (or losses) by £96. £3 per point x A$0.00320 = £3 per point x 32.0 points = £96.
Rolling Daily Foreign Exchange Markets
One important thing to note is that this is a 'Rolling Daily Market' and therefore there is no predetermined closing date for this market. If you decide to leave your trade open at the end of the day, it simply keeps rolling over into the next day.
Should your forex position roll over then you normally pay a small overnight financing fee. Our article Rolling Daily Spread Betting goes into more detail about Rolling Daily Markets and includes a fully worked example.
Sterling - Australian Dollar Rolling Daily - FX Spread Betting Example |
So, if you take the spread of A$1.55604 - A$1.55704 and assume:
- You've done your market research, and
- Your research leads you to think the Sterling - Australian Dollar market will increase and go higher than A$1.55704
Then you may decide that you want to go long of the market at A$1.55704 and risk, for the sake of argument, £2 per point.
So, you make a profit of £2 for every point (A$0.00010) that the Sterling - Australian Dollar rate rises above A$1.55704. Having said that, it also means that you will lose £2 for every point that the Sterling - Australian Dollar market moves below A$1.55704.
Looked at another way, should you buy a spread bet then your P&L is found by taking the difference between the settlement 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 trading sessions the forex pair started to move upwards then you could choose to close your spread bet to secure your profit.
Therefore, if the market moved up then the spread, set by the spread trading company, might change to A$1.56187 - A$1.56287. In order to close your trade you would sell at A$1.56187. As a result, with the same £2 stake your profit would come to:
Profits (or losses) = (Final Price - Initial Price) x stake
Profits (or losses) = (A$1.56187 - A$1.55704) x £2 per point stake
Profits (or losses) = A$0.00483 x £2 per point stake
Profits (or losses) = 48.3 points x £2 per point stake
Profits (or losses) = £96.60 profit
Trading forex, by spread trading or otherwise, is not easy. In this case, you wanted the forex rate to increase. Nevertheless, the currency rate might decrease.
If the Sterling - Australian Dollar rate had fallen then you might choose to close your trade in order to restrict your losses.
So if the market pulled back to A$1.55159 - A$1.55259 you would settle your spread bet by selling at A$1.55159. As a result, your loss would be:
Profits (or losses) = (Final Price - Initial Price) x stake
Profits (or losses) = (A$1.55159 - A$1.55704) x £2 per point stake
Profits (or losses) = -A$0.00545 x £2 per point stake
Profits (or losses) = -54.5 points x £2 per point stake
Profits (or losses) = -£109.00 loss
Note: Sterling - Australian Dollar Rolling Daily spread quoted as of 18-Sep-12.
Advert:
Sterling - Australian Dollar Spread Betting, sponsored by FinancialSpreads.com.
You can spread bet on Sterling - Australian Dollar with
Financial Spreads.
|
Risk Warning: Spread betting and CFD trading carry a high level of risk to your capital and you may lose more than your initial investment. Spread betting and CFD trading 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.
'Sterling - Australian Dollar Spread Betting' by DB, updated 13-May-13
For related pages also see:
Forex Trading Guide, updated 15-May-13
Forex Trading Guide: the complete guide to trading the forex markets including live forex charts, live prices, where to trade, daily forex analysis, forex technical analysis, how to trade, the global forex markets and...read article: Forex Trading Guide.
FX Spread Betting, updated 15-May-13
FX Spread Betting: the complete FX spread betting guide with an FX price comparison, live FX spread betting prices & live charts. Plus analysis and factors that influence the foreign exchange markets as well as...read article: FX Spread Betting.
FX Trading Guides, updated 26-Apr-13
40+ individual FX trading and spread betting guides for Euro-Dollar, Sterling-Dollar, Dollar-Yen etc. Every guide covers live prices and charts, where to spread bet on the FX market, a worked trading example and...read article: FX Trading Guides.
Euro-Dollar Spread Betting, updated 07-May-13
The Euro/Dollar spread betting review: live Euro/Dollar charts and prices, where to spread bet tax-free* and with 0% commission, Euro/Dollar spreads comparison, a look at...read article: Euro-Dollar Spread Betting.
Dollar-Yen Spread Betting, updated 07-May-13
The Dollar/Yen spread betting review: live Dollar/Yen charts and prices, where to spread bet tax-free* and with 0% commission, Dollar/Yen spreads comparison, a look at...read article: Dollar-Yen Spread Betting.
Sterling-Dollar Spread Betting, updated 07-May-13
The Sterling/Dollar spread betting review: live Sterling/Dollar charts and prices, where to spread bet tax-free* and with 0% commission, Sterling/Dollar spreads comparison, a look at...read article: Sterling-Dollar Spread Betting.
Euro-Sterling Spread Betting, updated 07-May-13
The Euro/Sterling spread betting review: live Euro/Sterling charts and prices, where to spread bet tax-free* and with 0% commission, Euro/Sterling spreads comparison, a look at...read article: Euro-Sterling Spread Betting.
Dollar - Swiss Franc Spread Betting, updated 07-May-13
The complete Dollar/Swiss Franc spread betting review: live charts and prices for the Dollar/Swiss Franc market, which FX brokers offer commission-free spread betting, how to spread bet on the Dollar/Swiss Franc market and...read article: Dollar - Swiss Franc Spread Betting.
|
|
Q) Average Trading Results?
A) Get free trading tips, offers, price updates, important news and more!
|
|
