When looking for the right forex broker you're most likely going to bump into two types of brokers - ECN brokers and Market Maker brokers.

With so many spread betting firms available nowadays (including 10+ in the UK), what should you look out for when picking out a spread betting broker? It’s worth spending some time to compare spread betting brokers.

The main thing to remember is that contracts for difference are derivatives and thus leveraged product, please make sure you understand the risks before trading CFDs.

For the purpose of this discussion we will not assume any previous knowledge of CFD trading, so let’s start at the beginning. CFD stands for Contract For Difference.

Financial Spread Betting is a huge business and can be very lucrative if you get the right training and apply that knowledge correctly.

Commodity trading has its fair share of fans and detractors. However, thanks to the benefits it offers, commodity trading mostly has significantly more of the former than the latter.

All investments involve some level of risk, however those who are unfamiliar with investing often get roped into risky investments in which they end up losing money. Investments can be tricky, especially if you are new at investing.

In CFD trading, risk management refers to determining how much funds are to be put into each trade to make sure that you will easily survive losing trade and will be able to go on with trading in order to get returns.

As currencies are traded against each other in established currency parings, there is movement in price, either upwards or downwards of one currency against the other.

A binary option is a position that one can take which will yield one of two predetermined outcomes. The investor decides whether the outcome will close at a positive result or a negative result.

CFD trading, otherwise known as contract for difference trading is the process of taking a position the value of a contract that mirrors the value of a stock or commodity.

Many investors, such as those who partake in the risky derivative financial spread betting are often looking for ways to reduce their risk. Many traders will opt to mitigate this risk by utilising binary betting.

Spread betting is slowly becoming an increasingly popular form of trading. However, given that it is an extremely leveraged product and depends on margins provided by the brokers, there is often a hidden cost involved with holding a position.

In financial trading of any type, be it spread betting, contracts for difference, share dealing, forex, or any other investment style you can think of, markets tend to be at the heart of what it’s all about.

Binary options are essentially a class of exotic trading options, with the payoff having only two possible outcomes. Hence, it derives the name binary options.

In the Forex market arena, traders have a variety of instruments that they can use at their discretion. While many Forex traders use forwards, futures and options, many enjoy spread betting on Forex.