What is CFD?
Contract For Difference is a contract between two parties, stipulating that the seller will pay to the buyer the difference between the current value of an asset and its value at contract time. CFDs are financial derivatives that allow traders to take advantage of prices moving up or prices moving down on underlying financial instruments and are often used to speculate on those markets.
Why CFDs and not a Stock?
CFDs (Contract for Differences) are traded over the counter (OTC). One of the differences between traditional cash Stocks and CFDs is that CFDs are traded on margin, meaning that you only have to put up a percentage of the value/invested amount, compared to the full amount when trading cash Stocks. This will of course mean that any losses you incur are magnified as a result of using leverage.
Moreover, CFDs can be sold short, which opens up the potential to profit in falling markets.
CFDs with CrescoFX
If your trading increase by month we make sure prices decrease: