CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.09% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

72% of retail investor accounts lose money when trading CFDs with this provider.
76.09% of retail investor accounts lose money when trading CFDs with this provider.

Why Trade Stock CFDs?

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Author: Leon Marshall

Stock CFDs offer a unique, flexible way to speculate on the financial markets. As a multi-award-winning CFD broker, we are passionate about sharing the potential benefits that stock CFD trading.can bring to your trading performance. 

Benefits of Trading Stock CFDs

Potential for Higher Exposure: For traders, leverage in CFD trading can increase exposure to both upside and downside potential

Flexibility: Trade on both rising and falling markets through long and short positions.

Accessibility: Trade anywhere 24/5 by connecting your Eightcap account to the TradingView app.

Diversification: Spread investments across various sectors and markets.

Cost: Speculate on the price of shares paying just the spread and a small commission, plus a swap rate for overnight positions. 

Hedging: A particularly useful advantage during earnings seasons and other economic events; traders can use a second CFD to cover their initial position, before closing one of their positions as the momentum develops, aiming to take profit in the direction of the prevailing trend.

See our full range of stock CFDs >

Stock CFDs vs. Traditional Stock Investing

Stock CFD trading differs from traditional stock investing as it involves speculation without owning the actual stocks. It offers advantages like leverage, short selling, and cost-effective trading, typically with lower commissions.

Getting Started with Stock CFD Trading

Choose a Reliable Broker: Eightcap is an expert in CFD trading, having deployed its expertise since 2009. 

Research and Analysis: Leverage our market research via Trade Zone, or our educational content right here on Eightcap Labs

Risk Management: Implement strategies to mitigate potential losses, including stop losses and take-profit levels

FAQs

What is the minimum investment for stock CFD trading?

Our minimum deposit to get started is $100. 

Final Thoughts

Stock CFD trading offers a unique pathway to engage with the stock market. It combines the potential for high returns, but also high losses, with the flexibility and cost-effectiveness not commonly found in traditional stock investing. 

We stand ready to guide you through your stock CFD trading journey.