Educational Articles

Knowledge Base

Reading time • 14 minute(s)

What Is CFD Trading? CFDs Explained

CFD trading is the method of speculating on the underlying price of an asset such as shares, indices, commodities, forex and more without actually owning it. A CFD, short for "contract for difference," is a type of financial derivative that enables you to trade the price movements of these financial markets. With this form of trading, you don't own the underlying asset — you're only getting exposure to its price movements. This means you can potentially profit from both rising and falling markets.

Reading time • 5 minute(s)

CFD Trading Taxes UK: What You Need to Know

How Are CFDs Taxed in the UK? In the UK, profits from CFD trading are subject to Capital Gains Tax (CGT). CFDs are classified as financial derivatives by HMRC, not gambling, which means any gains above your annual CGT allowance must be declared and taxed. The same classification also means losses from CFD trading can be offset against other capital gains, which is a meaningful tax advantage not available with spread betting. This article provides general information only and does not constitute tax advice. Tax treatment depends on individual circumstances and may be subject to change. Always consult a qualified tax adviser for guidance specific to your situation.

Reading time • 4 minute(s)

5 Stocks to Watch in August

August is shaping up to be another volatile month for investors. The biggest driver remains the Federal Reserve after July's decision to leave rates unchanged, with markets now pricing in around a 55-60% chance of a rate hike in September, meaning every major inflation and jobs report could move markets.

Reading time • 6 minute(s)

Stock CFDs vs Buying Shares: Which Is Right for You?

Stock CFDs vs Buying Shares: What's the Difference? Stock CFDs and buying shares both give you exposure to the price movement of individual company stocks, but they work in fundamentally different ways. When you buy shares, you become a part-owner of that company entitled to dividends, voting rights, and long-term capital growth. When you trade a stock CFD, you speculate on the price movement of that stock without owning it, using leverage to control a larger position than your deposited capital would otherwise allow. The right choice depends on your investment timeframe, goals, and risk appetite.

Reading time • 6 minute(s)

CFD Trading Strategies: Scalping, Swing and Day Trading Explained

What Are the Main CFD Trading Strategies? The three most widely used CFD trading strategies are scalping, day trading, and swing trading. Each differs in the timeframe over which trades are held, the frequency of trades placed, and the level of time commitment required. Choosing the right strategy depends on your available time, risk tolerance, and experience level, there is no single approach that suits every trader.

Reading time • 6 minute(s)

How CFD Margin Works and How to Avoid a Margin Call

What Is Margin in CFD Trading? Margin is the deposit required to open and maintain a leveraged CFD position. Rather than paying the full value of a trade upfront, you only need to put down a fraction called the margin requirement and your broker provides the rest. Margin is not a fee or a cost; it is a portion of your own funds set aside as collateral for the trade.

Reading time • 4 minute(s)

How Does Sports Betting Compare to CFD Trading?

With sports betting more accessible than ever and financial trading platforms bringing the markets to your smartphone, the two activities are increasingly discussed in the same breath. Both involve staking money on an uncertain outcome. Both offer the potential for substantial returns and equally substantial losses. But underneath the surface similarities lie some fundamental structural differences that any informed participant should understand.

Reading time • 5 minute(s)

CFD Costs and Fees Explained

What Are the Costs of CFD Trading? CFD trading costs fall into two categories: trading costs that apply when you open and close a position, and holding costs that accrue if you keep a position open overnight. The main costs are the spread, overnight financing charges (swap rates), and in some cases commission. Understanding these costs upfront is essential — they directly affect your profitability and should be factored into every trading decision.

Reading time • 5 minute(s)

Iran-US Ceasefire Under Strain: Why Oil Prices Are Rising Again as Tensions Flare

Oil prices are climbing again after President Trump said the US-Iran ceasefire is "over," following retaliatory US strikes on Tuesday night after attacks on commercial vessels in the Strait of Hormuz. Brent crude has jumped more than 6% this morning and is trading back above $78 a barrel, reversing much of the recent slide toward pre-war levels. While the initial announcement triggered one of the sharpest single-day moves in recent years — sending oil sharply lower and global equities higher — sentiment has since become more cautious. Oil has rebounded above $100 as supply disruptions persist and negotiations stall, highlighting how fragile the initial market reaction has been. Here’s what happened, how markets responded, and what traders are watching next. While the initial announcement triggered one of the sharpest single-day moves in recent years — sending oil sharply lower and global equities higher — markets have since stabilised, with investors now focused on whether the ceasefire will hold and what comes next. Here's what happened, how markets responded, and what traders are watching as the situation develops. Update (29 April 2026): Market sentiment has shifted in recent sessions, with oil rebounding and equities showing more mixed performance as uncertainty around negotiations persists.

Reading time • 4 minute(s)

CFDs vs Spread Betting UK: What's the Difference?

What Is the Difference Between CFDs and Spread Betting? CFDs (Contracts for Difference) and spread betting are both leveraged financial derivatives that allow you to speculate on the price movement of an underlying asset without owning it. The key differences lie in how profits are taxed, how trades are sized, and how costs are applied. In the UK, spread betting profits are exempt from Capital Gains Tax, while CFD profits are subject to CGT but losses can be offset against your tax bill. Both products are available to UK retail traders and are regulated by the Financial Conduct Authority (FCA).

Reading time • 4 minute(s)

Keir Starmer Resigns: What It Means for GBP, Gilts and UK Markets

Prime Minister Keir Starmer announced his resignation on the morning of 22 June 2026, making him the UK’s sixth prime minister to leave office in under a decade. For traders and investors, the key question is not just who comes next, but what the transition means for sterling, UK government bonds, and equity markets. Published on 22/06/2026

Reading time • 3 minute(s)

England vs Croatia: Markets to Watch Ahead of the World Cup Clash

As England prepares to take on Croatia in one of the most anticipated matches of the 2026 FIFA World Cup, investors are keeping an eye on more than just the action on the pitch. Major sporting events often capture global attention, but they can also highlight broader market trends. From forex markets and FTSE 100 stocks to oil prices and sports-related shares, there are several investment opportunities and risks worth watching before kick-off.

Reading time • 4 minute(s)

Best Stocks to Watch During the FIFA World Cup in 2026

The FIFA World Cup is more than just the biggest event in football, it's a global economic phenomenon. The tournament attracts billions of viewers, millions of international travelers, and significant spending on merchandise, advertising, food, entertainment, and sports betting. As a result, several industries can experience increased business activity during the competition. For investors, the FIFA World Cup presents an opportunity to monitor companies that may benefit from heightened consumer engagement and global travel demand. While the tournament alone doesn't guarantee stock gains, certain sectors historically receive increased attention during major sporting events.

Reading time • 12 minute(s)

CFD Trading for Beginners: How to Start Smart and Avoid Common Traps

CFD trading allows you to speculate on price movements of assets like stocks, forex, or commodities without owning them - using leverage and a regulated broker account as your entry point to the market. The mechanics are straightforward to learn, but the practical side involves costs, risk parameters, and decision habits that go well beyond simply opening a position. This guide covers what beginners need to understand before placing their first trade - and what most of them get wrong.

Reading time • 15 minute(s)

ETF Trading - What are they and how to invest in Exchange Traded Funds?

Investing in an ETF gives you the opportunity to participate in a professionally managed mutual fund and allows you to focus on a selected market sector. The popularity of investing in ETFs is currently booming and peaking among investors due to the desire to diversify investments, reduce risk, and interest in select industries or market sectors. The spike in the formation of more ETFs occurred after the pandemic, in 2020. Meanwhile, the pace of new fund creation accelerated in 2021 and the trend doesn't seem to be slowing, with the ETF market now worth more than $7 trillion USD.

Reading time • 2 minute(s)

How to Look for the Best CFD Broker

Choosing the right CFD broker is a critical first step for any trader looking to access the global financial markets. With hundreds of brokers offering similar services, it can be challenging to identify which one truly aligns with your trading goals, experience level, and risk tolerance. Whether you're a beginner seeking user-friendly tools or an experienced trader demanding tight spreads and advanced platforms, knowing what to look for is essential.

Reading time • 12 minute(s)

Energy Trading - How to invest in electricity & power?

Markets did not expect increased geopolitical tensions, deglobalisation trends, problems in supply chains and inflation to change sentiment toward energy companies. The global trend toward zero-carbon and green energy sources has also become an additional driver of positive change for the energy sector. The global energy crisis is not just rising gas or electricity prices driving inflation. It's also changing revenue expectations for companies operating in the market, from electricity or LNG suppliers to uranium producers to electric car companies. In this article below, we will identify ways, listed companies and financial instruments that can respond to improving sentiment toward the energy industry. We will answer the question: how to invest in electricity and power?

Reading time • 2 minute(s)

CFDs allow traders take position on whether the value of a financial market - for example, a share, commodity, currency pair, or stock index - will rise or fall in short, medium or long term.

Reading time • 9 minute(s)

Forex Trading - How to Invest in Forex CFDs

In this article, you will learn the importance of the FX market, the factors affecting it, and how to trade in the forex market.

Reading time • 7 minute(s)

What Is Leverage in Trading?

Every trader will probably encounter the term “financial leverage” and the option of leveraged investing sooner or later. So what is leverage in trading? What are the potential advantages of leverage and what risks does it involve? What is a margin and a margin call, and how do they relate to leverage? You will find answers to all these questions and more in this article.

This group contains cookies that are necessary for our websites to work. They take part in functionalities like language preferences, traffic distribution or keeping user session. They cannot be disabled.

Cookie name	Description
SERVERID
userBranchSymbol	Expiration date 1 day
adobe_unique_id	Expiration date 364 days
test_cookie	Expiration date 1 hour
SESSID	Expiration date 1 day
__hssc	Expiration date 1 hour
__cf_bm	Expiration date 1 hour
intercom-id-iojaybix	Expiration date 270 days
intercom-session-iojaybix	Expiration date 6 days
xtbCookiesSettings	Expiration date 364 days
xtbLanguageSettings	Expiration date 364 days
TS5b68a4e1027
countryIsoCode
userPreviousBranchSymbol	Expiration date 364 days
_cfuvid
intercom-device-id-iojaybix	Expiration date 270 days
__cfruid
UserMatchHistory	Expiration date 29 days

We use tools that let us analyze the usage of our page. Such data lets us improve the user experience of our web service.

Cookie name	Description
_gid	Expiration date 1 day
_gat_UA-22576382-1	Expiration date 1 hour
_gat_UA-121192761-1	Expiration date 1 hour
_ga_CBPL72L2EC	Expiration date 729 days
_ga	Expiration date 729 days
AnalyticsSyncHistory	Expiration date 29 days
af_id	Expiration date 394 days
afUserId	Expiration date 729 days
AF_SYNC	Expiration date 6 days
__hstc	Expiration date 179 days
__hssrc
_vwo_uuid_v2	Expiration date 365 days
_ga_TC79BEJ20L	Expiration date 729 days
_vwo_uuid	Expiration date 365 days
_vwo_ds	Expiration date 29 days
_vwo_sn	Expiration date 1 hour
_vis_opt_s	Expiration date 99 days
_vis_opt_test_cookie
_gcl_au	Expiration date 89 days

This group of cookies is used to show you ads of topics that you are interested in. It also lets us monitor our marketing activities, it helps to measure the performance of our ads.

Cookie name	Description
MUID	Expiration date 389 days
_omappvp	Expiration date 3998 days
_omappvs	Expiration date 1 hour
_uetsid	Expiration date 1 day
_uetvid	Expiration date 389 days
_fbp	Expiration date 89 days
fr	Expiration date 89 days
muc_ads	Expiration date 729 days
lang
_ttp	Expiration date 389 days
_tt_enable_cookie	Expiration date 389 days
hubspotutk	Expiration date 179 days
YSC
VISITOR_INFO1_LIVE	Expiration date 179 days
li_sugr	Expiration date 89 days
guest_id_marketing	Expiration date 729 days
guest_id_ads	Expiration date 729 days
guest_id	Expiration date 729 days
MSPTC	Expiration date 389 days
IDE	Expiration date 389 days
VISITOR_PRIVACY_METADATA	Expiration date 179 days

Cookies from this group store your preferences you gave while using the site, so that they will already be here when you visit the page after some time.

Cookie name	Description
personalization_id	Expiration date 729 days
UserMatchHistory	Expiration date 29 days
bcookie	Expiration date 364 days
lidc	Expiration date 1 day
lang
bscookie	Expiration date 364 days
li_gc	Expiration date 179 days