Stop Limit & Trailing Stop

[keentrader]

Which CFD allows stop-loss, stop-limit & trailng-stop all in 1 ticket?

If you can only have either one (stop-loss & stop-limit vs trailing-stop) which would you use & why?

newbie

 

[kebinu]

You have to see what you want to stop.

Stop limit is at specific triggered price whereas tailing stop depends on the correction during an uptrend rally.

 

[wahkao3]

CFD sucks
dont even touch them

 

[keentrader]

CFD sucks
dont even touch them

why?

If trade DMA mode, charges are lower than the brokerage if you don't hold the position for too long (incur interest).

Good thing is that they have advanced order types that can manage your risk better. I think risk management is most important in trading.

If I have missed anything, plse advise me.

newbie

 

[TheHeist]

why?

If trade DMA mode, charges are lower than the brokerage if you don't hold the position for too long (incur interest).

Good thing is that they have advanced order types that can manage your risk better. I think risk management is most important in trading.

If I have missed anything, plse advise me.

newbie

Which cfd provider?

 

[wahkao3]

why?

If trade DMA mode, charges are lower than the brokerage if you don't hold the position for too long (incur interest).

Good thing is that they have advanced order types that can manage your risk better. I think risk management is most important in trading.

If I have missed anything, plse advise me.

newbie

because the interest rates is around 4%

Crazy right?



If you are a satki trader making 20% rate per year, they eat you 4%, that's like 20% of your profits. Even if you have your own money, you still need to pay this rate.


After hearing about this interest rate charge, I never touch CFD again.

 

[zawoo86]

because the interest rates is around 4%

Crazy right?



If you are a satki trader making 20% rate per year, they eat you 4%, that's like 20% of your profits. Even if you have your own money, you still need to pay this rate.


After hearing about this interest rate charge, I never touch CFD again.

Who hold a CFD position for an entire year? Can someone enlighten me?

 

[Sinkie]

Who hold a CFD position for an entire year? Can someone enlighten me?

I'm holding a position for more than 1 year le leh lol

Everyday jiak me $5 interest lol

 

[wahkao3]

Who hold a CFD position for an entire year? Can someone enlighten me?

its a rate that compounds daily.

we scaled it up to a year so that we can appreciate the comparison, and compare apple to apple with other rates. Such as the 10 year risk free rate or car loan rate, or HDB rates

 

[wahkao3]

I'm holding a position for more than 1 year le leh lol

Everyday jiak me $5 interest lol

jin bo hua sia....

 

[Sinkie]

jin bo hua sia....

Lol, holding on losses some more.. But well, I'm using it as hedging so be it lor

 

[kebinu]

If you hold a cfd position for a year straight, good for you.

Go get more money!

 

[zawoo86]

I'm holding a position for more than 1 year le leh lol

Everyday jiak me $5 interest lol

lol. thats like $1.8k a year!

jus genuinely curious, wouldn't that be more of an exception than a rule of thumb?

I use CFD mainly for trading. The longest position I held was 1month plus. Under what circumstances would you hold a cfd for a year? (generally speaking, not in specific to you )

 

[Sinkie]

lol. thats like $1.8k a year!

jus genuinely curious, wouldn't that be more of an exception than a rule of thumb?

I use CFD mainly for trading. The longest position I held was 1month plus. Under what circumstances would you hold a cfd for a year? (generally speaking, not in specific to you )

Haha, it's fun, it's just a positional trading that goes abit wrong at first..

Well, who say the comm for cfd dma is cheap if u gonna add in the interest per day..

 

[wahkao3]

CFD 4% EAR is crazy man! If 0.2% EAR I might consider.


1 more risk about CFD
imagine a counter suspended, you cannot trade it anymore.
Suspend for 3 full years, you are obligated to pay your broker 4% annually. Broker jiak you gao gao. even if you got money, also cannot run away.

with this kind of risk, CFD is one of the riskiest products I ever seen. dont let your broker eat you


I am really surprised most people cannot see this kind of hidden cost and risks. That day I went to CFD seminar, nobody asked about the cost. The salesman broker also very clever to hide this kind of cost and keep on emphasizing the ability to short.

plain DMA is the the best

 

[Yxy]

most of the time won't hold for that long lah
(unless is a swing trade accidentally become an 'investment')

and if you mainly trade blue chips, the risk of long suspension is negligible

 

[wahkao3]

most of the time won't hold for that long lah
(unless is a swing trade accidentally become an 'investment')

and if you mainly trade blue chips, the risk of long suspension is negligible

might as well go for DMA right? dont even have these CFD risks
market is already as risky as it is. I dont need my broker to compound my risks with interest rates charges

 

[Mecisteus]

I'm holding a position for more than 1 year le leh lol

Everyday jiak me $5 interest lol

not afraid of suspension risk? just cut loss and move on.

personally, i find CFD is a good trading tool. provided you buy from the correct broker.

 

[keentrader]

not afraid of suspension risk? just cut loss and move on.

personally, i find CFD is a good trading tool. provided you buy from the correct broker.

Which CFD would you recommend for local stocks and why?

 

[Mecisteus]

Which CFD would you recommend for local stocks and why?

i recommend you pick non local brokers. ie IB or IG. go to their respective threads in this forum.

but too bad, IB dont allow you to trade local stocks. its ok, you still have the whole universe of other global stocks to trade.

i am not sure about IG though.