How Stock Index CFDs Work
An index CFD tracks an index such as the S&P 500 or DAX in points. How long and short index CFDs work, value per point, margin limits, financing and risks.
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How to Calculate the Value of a Point on an Index CFD
P&L = points moved × value per point; position value = index level × value per point. Worked examples on a US index at 5,000 and a European index in euros.
Common Mistakes When Trading Index CFDs
Grading an index CFD trade plan on six points: position value, the open, holding costs, concentration, leverage and correlated indices, with fixes.
How Index Dividends Are Adjusted on a CFD Position
When index members go ex-dividend, the index drops; cash index CFDs offset it with dividend points × value per point. How it works, with a worked example.
How to Read an Income Statement
Start with revenue, subtract costs to gross profit, operating income and net income, check margins and one-off items: how to read an income statement.
How the Hunt Brothers Tried to Corner the Silver Market
In 1979–1980 the Hunt brothers built a huge silver position as prices rose from about $6 to $50. Rule changes and margin calls ended it on Silver Thursday.
How to Research a Stock Before Trading Its CFD
Check the business, results and guidance, valuation, upcoming events, short interest and liquidity, then size the trade: a stock research checklist for CFDs.
How to Read an Earnings Report
Compare revenue and EPS with estimates, then read guidance, margins and key metrics, check one-offs and listen to the call: how to read an earnings report.
How to Read a Futures Curve
List contract prices by expiry, plot them, check the slope and the near-month spread, then compare with past shapes: how to read a futures curve, step by step.
How to Read a Forex Quote
Identify base and quote, read the bid and ask, find the spread in pips and work out the cost of a trade: how to read a forex quote, step by step with EUR/USD.
How to Read a Central Bank Statement
Compare the decision with expectations, look for changed words, read the risks and projections, then listen to the press conference. A step-by-step guide.
How to Compare ETFs That Track the Same Index
Compare the expense ratio, tracking difference, spreads and volume, size, replication and dividend policy: how to choose between ETFs that track the same index.