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Spread Betting – Using Knowledge To Beat The Financial Markets

Most casino gambling games rely, to a larger extent, on having Lady Luck seated at your elbow at the gaming table. There are some games, like blackjack, where knowledge and skill can help move the odds in your favour. Financial gambling, like spread betting, is slightly different in that there's very little luck involved. By carefully studying the markets and current affairs, it's possible to predict stock price movements and then bet on them. The more you know, the better your winning chances.

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Successful Spread Betters – How To beat The Financial Markets

Virtually every gambler is going to be constantly looking for the philosopher’s stone of gambling which is how to win at betting. And if there’s one betting market that has players constantly breaking their heads to form new winning strategies, it’s going to be spread betting. Today at Jackpotfinder, we thought we’d have a look at the best spread betting systems and strategies. Those that will allow you to increase your jackpot winning chances and walk away with some serious winnings.

So What is Spread Betting?

It’s surprising how many gamblers, particularly casino gamblers, have no idea what spread betting is or how it works. In some ways, you should look at spread betting in terms of trading as opposed to gambling. Invented decades ago in 1974, the idea of spread betting has gradually taken hold of the gambling community. But we should point out that many consider that spread betting has nothing to do with luck or gambling in any way. If you want to try those factors, then head over to King Billy Casino. Not only do they have every casino game under the sun, but they also offer all new players a great welcome bonus of 151% up to €/$500 plus 51 free spins!

In truth, spread betting is more akin to financial speculating, like binary trading. You’ll use this on financial markets and rather than trade in currencies, shares or commodities, you simply bet on their price movements. That means in principle this may sound quite complicated. But it’s actually relatively simple to understand. Though you may be used to traditional trading and sports betting, you’ll find that spread betting gives you many more opportunities to make money. Let’s have a look at some of the most common terms you’ll find.

Short or Long Trading

This all depends on the duration of the period you choose to bet on. So it can be of “short” duration or a “long” term trade.

Spread Betting Leverage

By using leverage you can increase your winnings and also your losses. Essentially, leveraged means that you’re able to pay only a small percentage cost upfront. Providing you’re able to manage your capital and your strategy, then the debt risk is born by yourself.

Margins In Spread Betting

Whenever you open with an initial deposit, then you’re creating an open position, which is called a margin. The trading of leverages is often called “trading on margins” and they’re going to be two types of them. These are with the “maintenance margin” and the “deposit margin.” For a great education in the margins, watch the 2011 movie “Margin Call.”

We suggest that you make time to truly understand these terms, as they are fundamental to understanding spread betting. As a betting activity, this is not something that we suggest you dive into feet first. Especially without doing a lot of research. So take your time and study. Only by fully understanding the market in which you’re investing will you be able to organise your spread betting in order to formulate a stronger betting strategy.

What Is The Spread?

Simply put, the spread is the difference between the buying and selling prices of any asset which takes into account the underlying market value.

What is Bet Size?

Just as with regular gambling on sportsbooks or casino games, the bet size is the amount of money you want to bet on each market unit movement. Though you can choose your bet size, keep in mind that in a similar way that casino games have minimum table betting limits, markets also have a minimum betting threshold.

The losses, and your estimated profits, are based on the price differential from the time you make the bet to the moment you close it out. This is then multiplied by the actual value of the bet itself. As you can imagine, all these factors will be affected by the volatility and liquidity of the marketing question. Just a single point up or down could represent a penny or a pound or £100. In the same manner that in sports betting on the deal ticket, you choose your markets, and then you will see exactly how much each point correlates to the real money you’re betting.

What Is The Bet Duration?

Probably the simplest way of explaining the bet duration is that it’s the time remaining before your position expires. Remember that all spread bets will come with a fixed time range. And this can vary considerably from between a day to several months forward. It’s up to you to close the bet at any time before it expires. But up till that point, the bet is still available for trading. Looking at things from a wider perspective, we can see that spread bets can be split into two main directions. One of the “daily bets” and the other is the “quarterly bets.”

Daily bets are really for short-term speculation. You’ll find that they’re available as long as you keep them open and their expiry dates are normally well into the future. The quarterly bets tend to expire on a quarterly basis which means every four months. These can be way into the future, extending up to the quarter of the following year. These bets are mainly for long term speculation and as a result, have wider spreads.

How to Become Successful At Spread Betting?

It’s almost impossible to guarantee who will become a successful spread better. Even if you follow the most stringent and knowledgeable spread betting guides, the market can still move in unexpected ways. In the UK, you’ll find that spread betting depends on many factors. These can be from changes in the global marketplaces to the local economy. Other factors can include such things as your own financial stability. Along with the amount of capital that you have to play with. You can certainly optimise your winning chances and reduce your losses by studying and becoming knowledgeable about all aspects of the financial markets, along with spread betting. In fact, knowledge should be a basic building block of your jackpot winning strategies.

Studying And Bet Size For Optimal Results

And speaking of studying, you will need to put a huge amount of time and effort into becoming successful. You start your spread betting journey with real money as it’s only through practical experience that you’ll be able to require the necessary knowledge. In this case, it’s important that you aim to reduce the risk of losing any significant amounts of money by limiting yourself to the size of your trades. In the same way that we recommend a blackjack or roulette player playing online at King Billy Casino, never bets more than 5% of their total bankroll. Well, with spread betting, we recommend that you never bet more than 10% of your trading capital. By going above this, you’re going to increase your risk considerably. It’s important that you don’t do anything that will cause you losses. Doing so will only serve to delay your eventual spread betting success.

It’s a good idea to start small. Utilise small trades as a means of collecting more funds in order to increase your betting capital, or in gambling terms, your bankroll. By keeping trades small you will learn how to build up the experience needed to control your investments. And eventually lay the foundations to a successful spread betting career. It really does take a great deal of time and effort to learn how to spread bet properly, without simply throwing your funds to the winds.

Spread Betting Strategies & Tips

Choose a Good Broker

A quick look on the internet and you’ll find plenty of UK spread betting platforms that are available for all speculators and investors to sign up to. And it’s in the same manner as the best online casinos in the UK. In that, you’ll find that there are rules and small particularities of each spread betting operator, which may be particular to them. It’s a good idea to make a demo account with the platforms you like. Then test their services before you actually start making spread bets with real cash. It’s always a good strategy to choose several platforms and check them all out before you go with just one of them.

Keep Proper Discipline

Having discipline is an essential skill for both casino jackpot games and financial trading. It means that you have an initial plan and that you have preset your enter/exit times in advance. There’s no point in solely relying on luck, as this will not help you in any manner. We suggest that you follow the local and international news that may affect the bets you are taking. This is because stocks can go up and down depending on current affairs. It’s important that you are both disciplined and informed. These are the only means by which you can make decisions that will lead to success.

Know When to Hit the Breaks

Once again, just as with gambling, it’s important to know when it’s time to step away. Whether it’s turning away from the casino games table or closing your laptop listing all the stocks shares and options. There may well come a time when your consecutive losses are beginning to mount up. Of course, it’s certainly logical, and quite possible to bet that the value of the stock will go down. Conversely, you can place a bet that the stock will also go back up again and return to a higher market position. Looking at other successful spread betters, you’ll see that they tend to stop their losses as soon as they reach a similar situation. Although trading and spread betting, particularly with your own cash, will require the making of some very hard decisions. In some ways, you need to be quite ruthless and possess some real self-discipline.

Research and Learn

In our opinion, there’s only one way to become successful as a spread better. And that is through research and learning. You’ll find that the UK stock market is super dynamic, with shares powering upwards into the stratosphere one day, and diving down to the depths of Davy Jones’s locker on the next. So it’s super important that you are one step ahead of the other players. This will involve a huge amount of research, reading and discovery of all the relevant information and news. We suggest that you stick with one type of stock option and learn all you can about it and its effects and external influences.

Finally, don’t be afraid to go online and look for spread betting forums. Though you should take many of the posts with a large pinch of salt, it’s also a great place to exchange experiences. And also learn about what other spread betters do in terms of jackpot winning tips and tricks in order to be successful. You may discover a new way or strategy of handling your spread betting, which will lead to even greater success.