Hi
I am embarking on a journey on Forex and started to look into it.
My general doubt is if i simply buy low and sell high currency pairs and earn profit, then what is the difference if i do this in CFD vs Spread Betting.
I know CFD is sort of like options and contracts ,but still can’t able to get my head of doing forex via spread betting and forex via CFDs.
If you look at IG, they have forex in both spread betting and CFDs.
Appreciate if you can shed some light on this!
Firstly, start small. Even if you win a little, aim for consistency over profit when starting out.
CFD - you have to pay capital gains tax on anything you earn.
Spread Betting - what you win is your own, nothing to pay ie: no taxes.
Here is a nice video running over the points:
I don’t trade either, but I can definitely see the use for spread betting.
CFD side on Trading212 is super nice though.
I would advise that you learn how to trade forex properly before committing any of your money in it. Use the demo account for at least a year before you start trading with real money. Spread betting is gambling at its core and you know what they say, the house always wins.
Good place to start: Learn How to Trade the Markets
Thanks all for the advise!
Trading on crypto nowadays can bring you a lot of money if you know TA.