Adventures in CFD Trading

So, I decided as part of my life goals of acquiring significant wealth that CFD trading could be an accelerator to paying my student loans off

I’ll be documenting my struggles in this thread and answering questions about CFD trading as well as T212.

I started by loading a small amount into my T212 CFD account, 250 pounds.

To start my journey off, I had to make some random arse trades to give me an understanding of how it worked; I lost 50 pounds or so on GBP/TRL and decided I am not touching FX ever again :slight_smile:

I then made some money going long on Nokia. I went all in and sold just before it went down.

I then lost a good bit on trying to repeat Nokia with Ericsson.

I then proceeded to lose 70 pounds or so on Moderna and I, simultaneously, made 50 pounds or so on Plug Power. I played earnings on both of these.

Right now I’m at about 300 (50 pounds net profit). I expect this to grow as I’m still holding Moderna and they have a very promising COVID vaccine. Also holding a position in Silver and expect to offset my Moderna loss in the short-term with these gains.

I have looked into the numerous trading sites, but as yet haven’t taken the plunge.
I’ll be honest, I really don’t understand CFD at all :joy:

My poison of choice has always been commodities (specifically gold) and over the years I have done reasonably well.

I do dabble in individual share trading occasionally, but normally with a lot of research and not a lot of money, results have been good and bad.

FX takes a lot of balls, and usually quite a lot of money to actually make a profit, but I do believe it can be done.

Best of luck :money_with_wings: :moneybag: :money_with_wings: :moneybag: :money_with_wings: :moneybag:
Look forward to hearing about your journey.

1 Like

CFD are contracts for difference. Basically you buy X with leverage and you hope that it goes up more than the initial spread on buying or selling a thing and then doing the inverse, pay a small fee for the leverage and the difference you make is yours to keep

That’s the problem for me, it takes a lot more research to understand why currency pairs move as they do than it does to look into individual stonks. + it’s only ever for 1-2 pounds gain if that. Not worth.

1 Like

I think the currency traders work on hundreds of thousands, and when you’re talking that sort of money, even small changes can make a difference.
Unfortunately not always in a good way. (remember Nick Leeson :joy:)

I’m happy if I exchange some currency through Revolut for a trip and the rate goes up, giving me a couple of quid more spending money :joy:

1 Like

I’m not one to tell you how to live your life Recchan, but this does concern me. Wealth as a goal never leads to satisfaction, it’s just a number on a screen.
What you will use that money to do is what matters. So e people find satisfaction in helping others, some enjoy travelling. Wealth for wealth’s sake is pointless.
I for one have been happier since working less. No point being the richest man in the graveyard

5 Likes

Exactly, and hence why I’m retiring shortly. My pension will be roughly what my salary was less mortgage, so why carry on working?

1 Like

You’re right, I’ve actually started to feel more empty as I tickle 5 figures. But I’m not getting it simply for the fun of it, the acquisition of wealth to me is stability.

I want to own enough of company shares to work part time on my own projects rather than to slave away creating wealth for someone else. That is, along with being able to be the family man I want to be, my idea of satisfaction. Or perhaps the Sertraline is making my future vision slightly cloudy :sneezing_face:

I don’t know how to respond though, to put it frankly I agree with you, I’ll go further and say; I’m miserable

I like travelling :slight_smile:

Update: current balance: 350GBP

Made a bet on BA’s holding company IAG and they went zoom. profits are 40% or so now in about a week of active losing and gaining

I need to overcome my fear of making a loss which is why I don’t take risk much. Trading is something I’ve always been interesting in, so thank thank you for doing this post @Recchan will be following this topic closely.

1 Like

I haven’t touched CFDs with a barge pole. But I’ve done relatively well with normal investing. If you’ve not already, there are good options for slightly lower risk funds to get an idea of the environment.

2 Likes

Update: Went in on NIO a significant amount, lost all profit plus an extra 50

Probably the last update for a little while since I moved funds out of CFD to my ISA to capitalise on discounted valuations on REITs atm

Have you heard of Pelican Trading?
This is a social platform built above the CFD providers, which allows other users to suggest calls you can copy trades (and can copy trades based on a users performance). Might be a nice way to foray into the CFD world?

1 Like

Has anyone had any experience in ESG investing with their ISAs and if so, what are the returns like?

Personally had none, but they’re not particularly important to me when i look into investment opportunities

interesting, why not?

1 Like

One should be in a position of strength before being picky, I’m not retired and comfortable beyond my dreams yet

true, hope it gets you the returns you want!

1 Like