Forex trading offers some of the highest potential returns of any form of investment. It's a massive international financial industry that is worth trillions of dollars every day. Global forex trading has traditionally been dominated by the big institutional players – governments, banks and major funds. Now, online brokers like Opteck are offering private investors the chance to trade all the best-known currencies as CFDs. It's a fast, simple and potentially highly profitable form of trading that allows ordinary people to manage their own investment portfolio. We'll explain exactly what CFDs are and explore the pros and cons of this revolutionary form of trading. We'll also take a look at how forex trading strategies can be implemented on the new Opteck platform. 

What are CFDs?

There's a lot of confusion about CFDs. Put simply, a CFD is a 'contract for difference'. If you have an Opteck account you can invest on the market performance of a particular asset rather than actually purchasing it. Each trade is regarded as a 'contract' between you and Opteck. If you correctly predict the performance of the assets your profit will be the difference between the opening price of the trade and it's closing price. You can also use leverage to boost your investments using Opteck's money. Don't worry if it sounds complicated – it is actually a very straightforward way to invest. You can easily begin to trade CFDs with an Opteck trading tutorial.

The Advantages of CFDs

  • Simplicity: There is no need to buy any assets. This means that whole investment process is streamlined.

  • Transparency: When you trade CFDs there are no hidden charges, surprise fees or commissions.

  • Independence: You can choose which currencies to trade and how much to invest. You have access to real-time market data.

Trade CFDs with an Opteck Trading Tutorial

Opteck has gone a long way towards 'demystifying' forex trading and making online currency trading accessible to people who don't have a financial background. Opteck's Trading Academy is free for registered users and is full of top quality trading tutorials, as well as ebooks, and other learning tools. You can also sign up for free webinars (a great way to meet other traders) and request one on one training with Opteck experts. One of the best things about Opteck's education center is that it cuts straight through all the jargon and complex terms. CFD trading is explained using simple examples and a strong emphasis is placed on using proven forex trading strategies.

Forex Trading Strategies

The beauty of forex trading strategies is that they can work with investments of any size. It doesn't matter if you're a hedge fund manager responsible for millions of dollars, or a small investor with a trading budget of hundreds of dollars. If you're prepared to take the time to learn the basics, and have the patience to perform systematic technical analysis, the following strategies could help you to trade CFDs on the Opteck platform:

  • Bollinger Bands

  • MacD – Moving Average Convergence Divergence

  • RSI – Relative Strength Index

  • Stochastic

 
You can learn more about forex trading strategies and technical analysis at the free Opteck Academy.