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Why CFDs

ClonTrader presents adaptable trading circumstances spanning a wide variety of CFDs, including those on Indices, Shares, Metals, ETFs, and many other assets.

Why CFDs

CFD, or ‘Contract for Difference’, represents an agreement where two parties consent to exchange the value difference of an asset, be it a security or instrument, between the opening and closing of the contract. This financial instrument has become increasingly popular in recent times.

CFDs are renowned for their versatility, making them a favored choice for short-term investment strategies. They allow investors to potentially maximize their returns on capital outlay. Traders can take advantage of price movements in various markets without the need to own the underlying asset outright.

Moreover, CFDs offer several advantages. They provide an efficient way to diversify an existing investment portfolio, spreading risk across different asset classes. Additionally, they can be used to hedge positions, protecting against potential losses in other holdings. Overall, CFDs present unique opportunities for those looking to engage in more dynamic and flexible trading.

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Advantages of CFDs

Flexible

CFD contract sizes are frequently smaller compared to the standard contract size of the underlying asset. This enables you to have exposure to the price fluctuations of the instrument with a relatively small deposit. The flexible sizing feature empowers you to customize your trading activities in line with your risk management strategies.

Hedging

CFDs, as derivatives of underlying instruments, grant participation in asset price shifts without ownership. In a bullish market, buy a CFD and sell later ('going long'). In a bearish one, sell first and repurchase to close ('going short'). This dual opportunity enables potential profits whether prices ascend or descend, making CFDs a versatile trading option.
 

Long and Short

In the Forex realm of ClonTrader, traders have unfettered choice in trading direction. When you sense a currency pair will ascend, you can buy or ‘go long’. Conversely, if a dip is foreseen, the option to sell or ‘go short’ is readily available, ensuring maximum trading adaptability.
 

Accessibility

The amount required to trade Forex is generally lower than what would be required to trade other financial markets. In addition to this, multiple desktop and mobile trading platforms make it easy to access the Forex markets at any time.

 

Leverage

For ClonTrader in Forex, leverage allows a lower initial outlay to open a larger position. With $1,000 and 1:100 leverage, a $100,000 position is possible. But note, greater profit potential with leverage means equal loss risk.

Volatility

With ClonTrader, Forex's large daily volumes bring volatility and trading chances. Pick pairs to fit your style. Beginners may start with AUD/NZD; advanced traders might prefer EUR/USD.

How does CFDs
Trading work?

On ClonTrader, CFD trading starts by choosing an underlying instrument. Based on market analysis, you select to go long if expecting a price increase or short if anticipating a decrease. The platform uses the price difference between opening and closing positions to calculate profit or loss. Leverage is available, magnifying both potential gains and losses. It also offers real-time data and tools for informed trading decisions.

When closing a CFD position on ClonTrader, it’s a cash settlement without physical asset delivery. The trading process is efficient with rapid order execution. Risk management tools like stop-loss and take-profit orders are provided. These automatically close positions if the market moves unfavorably beyond set levels or reaches a target profit, safeguarding your capital and securing earnings.
 

Trade CFDs on ClonTrader

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ClonTrader is the trading name of ClonTrader Ltd, incorporated in Saint Lucia.

Risk Warning: Trading Forex and CFDs involves a high level of risk to your capital. Only trade with funds you can afford to lose. This trading may not be suitable for all investors; please ensure you fully understand the risks involved and seek independent advice if necessary. We encourage you to read and understand our Risk Disclosure.

Restricted Countries: ClonTrader Ltd does not provide services to residents of certain countries, including the United States, Canada, Brazil, Israel, New Zealand, Iran, and North Korea (Democratic People's Republic of Korea), or any country where such distribution or use would violate local laws or regulations.

You must be at least 18 years old or of legal age in your country to register an account with ClonTrader Ltd. By registering, you confirm that you are doing so voluntarily and without any solicitation from ClonTrader Ltd.

ClonTrader Ltd does not direct its website or services to individuals in jurisdictions where their use is prohibited by local laws or regulations. When accessing this website from a location where its use may be restricted, it is your responsibility to ensure compliance with local laws. ClonTrader Ltd does not guarantee that the information on its website is suitable for all jurisdictions.

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