Trading in cash on currency markets is called spot (Spot). Spots or spot transactions occupy quite a serious share of the currency market – more than a third of the total volume.
The majority of novice traders, who for the first time face financial markets, have a poor understanding of the mechanism of pricing of trading instruments, which negatively affects their profitability.
The information noise around the cryptocurrencies, the first and most popular of which is called Bitcoin, has reached almost everyone’s ears.
Choosing a trading instrument is a rather complicated and complicated process for a novice investor. Lack of systematized information and widespread advertising of various financial instruments by various brokers are often confused and lead to spontaneous decisions.
A CFD is a simplified over-the-counter (OTC) instrument, which is an obligation that guarantees that at the end of the contract the difference between the value and the current value of the asset will be transferred between the parties.