Spread Betting

JonnyT

Senior member
2,560 22
The leverage on Indices is much greater than on shares, therefor the serious player should be trading indices and not shares. So Steve I think you are wrong.

Indices are also more predictable.

JonnyT
 

options

Senior member
2,374 218
Those that complain about bias are using it as an excuse for losing.

Even those that win complain about the bias.


. Shares also offer more volatility % wise than indecies and TA is more applicable as they are truly traded.


Are you looking at the same screen as the rest of us?

Options.
 

options

Senior member
2,374 218
Disagree about serious players only trading indices and not shares though Johnny T.

I know some very serious players that only trade shares.

It's what you are comfortable with I suppose.


Options.
 

steve-th

Junior member
14 1
Hi Options
Re.bias, ANY complaints are unjustified. The SB's are perfectly entitled to employ it. That's why it's a mugs game and the SB's love mugs. It's where most of their business and profits come from. Share qoutes come from the market. Do you want to try and outperform the market or the SB companies?
RE. Volatility. Indecies by their nature are less volatile than their components as they are an average of those components.
Re. TA. The price of a share is determined by trading and is a true reflection of the demand/supply for that share. The price of an index is not determined directly by trading it but by averaging its components which are sometimes weighted in different ways. Throw in some of that much loved bias and you have a very unpredictable mess. Observing index trends does help in deciding whether to buy or short shares tho.
PS Don't take anything I say too seriously. Sometimes just like a good discussion
Steve
 

madasafish

Well-known member
470 5
Steve

Yes staistically indices MUST be less volatile than the underlying shares: eg Worldcom drops 99% in 2 years, Nasdaq only falls 80%.

That does not mean indices are not volatile.. a 5% trading range in a day is volatile for any index.. that has been the 10 day average for the S&P over the last month...


Use sb for positions and you're OK, try to scalp and you get stuffed...
 

options

Senior member
2,374 218
Don't worry Steve, I never take what anyone says seriously.

The thing that makes us all different is our view on whatever, and we meet in the market. You buy, I sell, we have a market.

All complaints against the sb's are justified because they are allowed to steal money out of your pocket and get away with it.

The fsa and the like fail to protect who they are supposed to. Us.

A lot of people use the sb's because they do not know what the alternatives are, and there is no other business in the world where you would be allowed to operate using their methods.

Options
 

steve-th

Junior member
14 1
Hi Madasafish (can I call you Mad for short!?)
Think that is the nub of it.Trouble is scalping has a certain romanticism attached to it and the almost instant result appeals to our gambling instinct. Who wants to roll the dice and then wait days or even hours to see if they have won? It is a very specialist area demanding v. special skills that most of us don't have yet it attracts nearly all newcomers to SB for all the wrong reasons.
As you say, position taking is fine. My filthy rich brother uses it v.succesfully to hedge his portfolio of shares. One down bet on the Nasdaq and he can get a good nights sleep!
 

madasafish

Well-known member
470 5
you can scalp with SBetting.. I use fins and £1 per point to test new systems...I don't care about the spreads or bias then.. all I want to do is test real time real trading.

But scalping over 2-5 mins is possible with sb IF your systems are good.

Are mine?

Hopefully..

(PS madf is my normal nickname but mad, mf are often used:)
 

sportsmasterP

Newbie
1 0
Rugby League Betting

Good luck with your I am sure it may have even been published by now but just thaught incase you are still in the process of writing it i'll let you know my favourite rugby league betting site. Not just because of teh betting but because it also provides good news within the sports field. Is it possible to find out , if you finished, what the title of the book is
 

hedonist

Newbie
1 0
Good luck with your I am sure it may have even been published by now but just thaught incase you are still in the process of writing it i'll let you know my favourite rugby league betting site. Not just because of teh betting but because it also provides good news within the sports field. Is it possible to find out , if you finished, what the title of the book is

To me that post about sums it up really :) The difference between financial Spread Betting and Gala Casino is minimal. or some spam sporting betting for that matter
If you win the house loses, therefore the house has an interest in you failing, simple as.

If you trade equities, or futures for example it is a zero sum game, you win another trader loses. Your data and execution provider have an interest in you doing well. If you win you will trade some more, they will earn more commissions.

Trading is hard enough without the provider of your venue and execution wanting you to fail.

My 2p worth ;)
 

gle101

Veteren member
3,717 84
To me that post about sums it up really :) The difference between financial Spread Betting and Gala Casino is minimal. or some spam sporting betting for that matter
If you win the house loses, therefore the house has an interest in you failing, simple as.

If you trade equities, or futures for example it is a zero sum game, you win another trader loses. Your data and execution provider have an interest in you doing well. If you win you will trade some more, they will earn more commissions.

Trading is hard enough without the provider of your venue and execution wanting you to fail.

My 2p worth ;)
I agree, trading financial markets is really all about odds, as is gambling at the casino. One has to consider the overall picture of experience, odds and stakes while choosing the platform to trade on, whether it be DMA or SB. The problem with SB companies is that the odds fluctuate, since they are a Market Maker, so one has to take all these parameters into consideration in order to find the right setup for trading.
 

card-wheels

Newbie
1 0
This is my first post over here.
I liked this forum entry the most though, the way you said it was just amazing!
See you Later ;)
Cheers.
Mario
 
 
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