Simple SB Question

[blueclaret]

Hi, I have started spread betting and have a really basic question. I emailed IG for an answer but have yet to get a response. My question is concerning the order to open function. So if i find a share the night before and I want to open a sell bet then what is the best way? For example, if the spread was 500-504 do I put 500 as the order level. I have tried this and sometimes I get an error message. What I normally do is put the order level a few points down, so maybe around 497 but then the price goes down and past that level and misses that price and i lose alot of points.

If someone could explain the best way to use this function I would appreciate it.

 

[Splitlink]

I've never used this in the way that you explain. I expect the order to be triggered within the same session, not the next day. If you put an order on, to be acted upon the next morning, and the the price gaps down and opens at i.e. 495, you'll, probably, be filled, sooner or later, and the problem is that you'll be locked in to your order until you are, unable to cancel it and get in at a lower price.

My take is that this is not a good idea. I would see what happens the next mornng, then put an order in or trade manually. There will, always, be other opportunities, don't let them lock you into an opening gap.

I understand that you are unable to enter the market the previous day, shortly before the close?
Spreadbetting firms are looking to see which way the market is going to go when it opens. Your spread may not be anywhere near that amount, I've seen, normally 5 point spreads, go to 10-15 points before a price is decided.

If IG have not answered you, it may be because they do not want to commit themselves. A warning signal ,in itself.

 

[blueclaret]

Because of work i get home after the markts have closed but leave home around 8.30 in the morning when the spreads are quite wide. I am betting on FTSE maybe it would be better to do US stocks? Also when I bet correctly I can only narrow the stop loss while the market is open. So I can only do this the next day which is a bit of a problem.

 

[Tenapenny]

You've got the solution to your problem. Pick something to trade that fits around your lifestyle and work whether it's U.S. stocks, indices or forex etc. Best of luck.

 

[Splitlink]

Because of work i get home after the markts have closed but leave home around 8.30 in the morning when the spreads are quite wide. I am betting on FTSE maybe it would be better to do US stocks? Also when I bet correctly I can only narrow the stop loss while the market is open. So I can only do this the next day which is a bit of a problem.

I don't have experience with IG, I'm with Fins. They have their spread problems, too, on the opening, but I'm luckier than you--I'm home until 1330.

I trade both the SP500 and FT100 indices most days as Fins starts trading on the internet from 0800. I don't do US stocks, but it may be the answer to your problem because it would give you 30 minutes to put a trade on before going to work and the market does not open until 1330 UK time and it closes at 2100, which gives you more leeway. The spread might be wider out of hours, though. Check that out.

There's a thread called "Evening trading US stocks", or something similar, on the US stocks platform.