Rolling Daily Bets

[MaineMan]

Hi folks,

I'm a newbie just learning the game via a couple of demo accounts...please be patient with me! ;-)

I recently place a couple of demo rolling daily bets (Sell HBOS) with PaddyPowerTrader & GFT Markets, in order to compare them...I got a bit of a shock when analysing the results???

I made a small profit with PaddyPower & a big loss with GFT.
PaddyPowerTrader only charged me a small fee each night for rolling the bet and the overall profit / loss wasn't calculated until the end of the bet.
However, GFT closed & re-opened the bet each night at 9:51pm which resulted in my big loss due a price swing on the first day...overall the price did go down thus my profit with PPT.

I really like the GFT DealBook360 software app and was swaying that way...however I'm not sure now due to the closing / re-opening of the rolling bets each night.
Is this normal practice?
Do other SB companies operate like PPT or GFT?
Feel free to recommend any good SB companies.

Cheers
John

 

[Lee Shepherd]

Hi folks,

I'm a newbie just learning the game via a couple of demo accounts...please be patient with me! ;-)

I recently place a couple of demo rolling daily bets (Sell HBOS) with PaddyPowerTrader & GFT Markets, in order to compare them...I got a bit of a shock when analysing the results???

I made a small profit with PaddyPower & a big loss with GFT.
PaddyPowerTrader only charged me a small fee each night for rolling the bet and the overall profit / loss wasn't calculated until the end of the bet.
However, GFT closed & re-opened the bet each night at 9:51pm which resulted in my big loss due a price swing on the first day...overall the price did go down thus my profit with PPT.

I really like the GFT DealBook360 software app and was swaying that way...however I'm not sure now due to the closing / re-opening of the rolling bets each night.
Is this normal practice?
Do other SB companies operate like PPT or GFT?
Feel free to recommend any good SB companies.

Cheers
John

John,

This is normal practice, it's written everywhere and should be common knowledge to every trader BEFORE they place the trade (or in this case I feel - gamble). This is text book stuff.

Rolling contract is just that, it rolls over, thus being shut down and re-opened every night and getting charged a small amount of interest.

To access this info it will be written on the notes that you can access at any time on the contract and will also be located on the bet at all times and on the contract note when opening the bet, read the small print, these contract notes are written for a reason. This is where margin is located and expiry to contract.

A daily contract is just that, if your playing for a future date you can use a future contract then it wont cost you over night fees and close and re-open every night, but you will pay a higher spread or a higher price for the contract to allow for the interest being built in. If your time is only for a few days or a week then get the contract earliest to your time as this would work out best for price.

I would ask you this, if it was a daily contract and your unclear of the basics, did you even have a stop loss on this, it obviously wasn't a time based one so was it on a price, if so, how far from the daily moving average as you say it moved heavily against you and you suffered a 'Big Loss' yet allowed the bet to roll over. I ask this because it's common for new traders to try and get some money then when it goes against them, hold onto it, then get confused because they still registered a loss and also had to pay interest and then had a sleepless night wondering what the market would do on open then on top of all that instead of contacting the company direct will post on internet boards. Almost like a cycle. and around it goes.

 

[Lightning McQueen]

Not wishing to be alarmist or off topic but I tried to have a look at the difference between these two companies. I got looking at the GFT web site first, didn't get very far into the site when my anti virus went bananas. Not sure whether these are genuine threats or just normal stuff that's ok but I don't usually get alerts from mainstream sites, only the sleazy ones lol

Mal/Badsrc-C
Category Viruses and Spyware
Type Malicious Behavior

Mal/ZlobJS-A
Category Viruses and Spyware
Type Malicious Behavior

Troj/******-AG
Category Viruses and Spyware
Type Trojan

 

[MaineMan]

John,

This is normal practice, it's written everywhere and should be common knowledge to every trader BEFORE they place the trade (or in this case I feel - gamble). This is text book stuff.

Rolling contract is just that, it rolls over, thus being shut down and re-opened every night and getting charged a small amount of interest.

To access this info it will be written on the notes that you can access at any time on the contract and will also be located on the bet at all times and on the contract note when opening the bet, read the small print, these contract notes are written for a reason. This is where margin is located and expiry to contract.

A daily contract is just that, if your playing for a future date you can use a future contract then it wont cost you over night fees and close and re-open every night, but you will pay a higher spread or a higher price for the contract to allow for the interest being built in. If your time is only for a few days or a week then get the contract earliest to your time as this would work out best for price.

I would ask you this, if it was a daily contract and your unclear of the basics, did you even have a stop loss on this, it obviously wasn't a time based one so was it on a price, if so, how far from the daily moving average as you say it moved heavily against you and you suffered a 'Big Loss' yet allowed the bet to roll over. I ask this because it's common for new traders to try and get some money then when it goes against them, hold onto it, then get confused because they still registered a loss and also had to pay interest and then had a sleepless night wondering what the market would do on open then on top of all that instead of contacting the company direct will post on internet boards. Almost like a cycle. and around it goes.

Thanks for the reply...much appreciated
Luckily I am only using "toy money" in the demo accounts so no real loss.
I must have had a stop on the GFT trade that got hit whilst I was playing around.
I have since read a decent book on financial spread betting and things are a little clearer.
It looks like PaddyPowerTrader don't close and re-open each night as GFT did...PPT state that they settle the profit/loss at the end of the bet...GFT do it each night (close & re-open)...thus why I could only see PPT taking small fees for rolling the bet each night.
Seems a bit strange that they should operate different rolling models...that's what freaked me out initially

Looks like I've got a lot more reading to do.

Regards
John

 

[MaineMan]

Not wishing to be alarmist or off topic but I tried to have a look at the difference between these two companies. I got looking at the GFT web site first, didn't get very far into the site when my anti virus went bananas. Not sure whether these are genuine threats or just normal stuff that's ok but I don't usually get alerts from mainstream sites, only the sleazy ones lol

Mal/Badsrc-C
Category Viruses and Spyware
Type Malicious Behavior

Mal/ZlobJS-A
Category Viruses and Spyware
Type Malicious Behavior

Troj/******-AG
Category Viruses and Spyware
Type Trojan

Not sure if you were looking at the right website...GFT Margets are huge around the globe...the Dealbook360 software is very good indeed.
I would also like to try CMC's software app...looks very good also.

Regards
John

 

[Lightning McQueen]

This was the site I looked at GFT - Spread Betting - The Leader in Online Trading and was trying to access the market information sheets, obveously I couldn't because the files were being quarantined. I don't think I'll be going there again in a hurry