Stock CFD trading

What are company stocks?

Stocks, also known as shares, represent the ownership equity in the company. Each shareholder has a set of voting rights and a residual claim on corporate earnings. The stock market is where institutional and individual investors gather to buy and sell shares in public venues. Nowadays, they are mostly transferred to electronic marketplaces.

CFD trading on stocks

Investing in stocks usually means committing money or capital to an endeavor. When investing, you expect to obtain some income or profit if the market goes in your direction. The other way to approach online trading is CFDs – Contracts For Difference, which allow you to speculate on the market price change without actually owning the shares. Learn more about how CFDs work in our educational hub that is available for free to any registered user.

Stock trading essentials

Choosing the right stock to invest in isn’t easy, as so-called popular stocks among traders vary from large-cap tech giants to gold miners. Also, each day brings changes to the global market situation, and there’s no certainty whether the company you chose would maintain the level of success in the near future.

Still, there are a couple of ideas on how to get started. First, think large. Consider big, stable companies, but without limiting yourself only to “old school” industries. Experienced traders might look for the trends of the season. Follow the market news, monitor the global economic issues and try to make the right choice at any given time.

The information above is for education purposes only and cannot be considered as investment advice.