Can I ask what is the underlying mechanism for CFD trading on S&P ?
As far as I understood it, the US market breaks down like this:
9am-2.30pm GMT - PreMarket
2.30pm-9pm GMT - Normal market
9pm-1am GMT PostMarket
As far as I understood only institutional investors can access pre and post markets.
WE instead can bet on those markets using a CFD product. e.g. I can bet on AAPL from 9am until 1am GMT.
CFD is just a contract right ? I don’t own AAPL stocks. So I’m just betting on the value of the stock correct ? My bet or the value of my bet won’t change its value. What changes it, it’s the big institutional investors buying/selling real shares in the pre/post market… correct ?
If the above is a YES, how is the CFD S&P value calculated overnight ? S&P CFD is open between 11pm and until 9.14pm of the day after…meaning if AAPL has stopped trading at 1am… where is the S&P value between 1am-9am GMT coming from ?