Author:
Roy Connor
Last Updated on:
20/11/2024
Topic:
Trading
In the following guide, we’ll be taking you over the benefits of trading with CAPEX and why we’re known as the best commodity online broker.
Trading commodities is a great way to capitalize on your funds, especially if you’re trading commodities through CFDs because they allow you to obtain greater exposure with limited capital.
Some commodities are better for trading than others, and it’s essential that you choose a broker that offers a good range of commodities so you can pick and choose according to your preference. Here at CAPEX, we offer traders a good variety of commodities, each of which is the most sought after commodities across the globe, including cotton, gold, natural gas and oil. Plus, we are an online broker with high leverage, so you can gain greater market exposure with fewer funds. Of course, leverage also means a higher risk of losses, so we also offer a product without leverage for those traders who prefer a 1:1 investment ratio.
Trading with a broker with low commission fees or has the lowest spreads is great because that means traders with low budgets can invest as well.
Here at CAPEX, we are an online broker with low spreads, and also have some of the lowest trading fees you could find in a broker of our kind. A cherry on top is that you don’t have to pay a deposit fee or withdrawal fee either. You can simply hop on to our trading platform and begin your trading journey without even paying a minimal deposit fee.
Commodities refer to basic goods that are interchangeable with similar goods. For instance, grain, natural gas, oil, and gold are all traditional commodities. The reason behind the popularity of commodity trading is that commodities tend to move in the opposite direction as stocks. So, when the stock market is volatile, investors who trade commodities have a safety net.
The main categories of commodities that are traded nowadays are meat and livestock, metal, energy, and agriculture. The primary risk of trading commodities is that you cannot easily predict the commodity market as it’s affected by several uncertainties such as bad weather, natural disasters, or epidemics.
Similarly, there are several ways through which you can invest in commodities, including futures contracts, options, ETF’s, and CFDs.
Experience a new level of trading with the right support when you need it. Sign up for a free account and trade smart with CAPEX.com.
An effective way to invest in commodities is through CFDs. CFDs or contracts for differences allow one to trade on margin e.t without owning any underlying asset. Since CFDs allow traders to trade on margin, the deposit to trade on an asset is only a percentage of the assets actual price.
The primary benefits of trading CFDs on commodities are that users don’t have to own the underlying asset, and thanks to high leverage, users don’t need a lot of funds to gain greater exposure in the market. A cherry on top is that CFD traders get to seek opportunities from a falling market by opening a sell position / going short.
Nowadays, retail traders can invest in a wide range of commodities through CFDs. Here at CAPEX, we offer users CFDs over several commodities, including gold, palladium, natural gas, and oil. Plus, we allow traders to trade commodity CFDs on both our user-friendly platforms that are packed with several useful tools and features to assist traders throughout their trading journey.
While CFDs are risky instruments to trade, there are a number of tips that you can follow in order to better manage the risks associated with CFD trading and increase the chances of profitability. Here are a few tips you can practice while trading on CAPEX – the best commodity online broker:
It’s important to decide which type of commodity you want to trade and to do proper research before investing. We suggest that you should invest in markets that you’re familiar with to increase the chances of making profitable trades.
Here at CAPEX, we allow traders to trade CFDs on some of the world’s most sought after commodities. These include oil, gold, natural gas and cotton.
One cannot undermine the importance of trading with a user-friendly trading platform that offers a wide range of commodities to trade on. Here at CAPEX, users can trade hard and soft commodities under the categories of energy, metal and grain.
The numerous benefits of trading commodities on our platform include fixed spreads for precious metals, up to 18 commodities are available to trade on CFDs, there are tight spreads and zero commission, and last but not least, the available leverage goes up to 1:20.
Demo accounts are a great way to experience trading without risking your money. Firstly, you get the feel of how the actual trading platform will be. Secondly, you get to assess where you stand in terms of trading skills and what the risks of trading a certain asset might be. Lastly, you get the perfect opportunity to practice and polish your trading skills and strategies.
Here at CAPEX, we offer demo accounts for all the official accounts available on our platform. You can sign-up for our commodities trading demo account and experience trading various assets with fake money until you’re prepared to trade in actual life. Our demo account is available on both our platforms; the CAPEX WebTrader and MetaTrader 5 (MT5) trading platform.
Keeping in mind that CFDs are quite risky to trade, we have jotted down a few tips and strategies that you can apply in order to reduce risk and increase the chances of making profitable trades.
These are just a few tips and strategies that can be applied while trading with CAPEX. There are several other strategies that you’ll come to know of during your trading journey with us. Make sure to register on our demo account so you can practice the above strategies and learn more about the commodities market.
Here are a few factors to consider before determining whether a commodity broker is worth signing up with or not:
In order to determine whether a broker is secure, the first thing to look for is the license to practice and regulation it’s under. Brokers that are regulated under tier-1 financial authorities are secure as they’ve to follow strict rules and guidelines.
CAPEX is licensed and regulated under CySEC, which is a renowned tier-1 financial authority. On top of that, we are registered with a wide range of financial authorities in several countries across the globe.
Imagine trading on a platform that isn’t easy to navigate; you’ll probably end up wasting most of your time figuring out how to do things. On the other hand, if you register with a platform that is user-friendly, you can trade with ease and access all necessary functions smoothly.
We offer our traders two trading platforms; CAPEX WebTrader and MetaTrader 5 (MT5) trading platform. Both of these trading platforms are highly intuitive, offer a wide range of integrated tools, and have a user-friendly interface. Our platforms are designed to suit traders of all levels in a convenient manner.
Having a number of commodities to choose from is extremely helpful because it allows you to diversify your trades. After all, investing all your money in a few assets isn’t the best idea. Here at CAPEX.com, we offer users eighteen of the top commodities in the market to trade CFDs on. You can choose between metals, a few energy-related assets, and some soft commodities.
The secret to achieving your trading goals lies in ongoing learning; the more you know, the better you’re able to trade. So, while searching for the best broker to trade with, don’t forget to check whether the broker offers learning tools or not.
Here at CAPEX, traders can benefit from a range of learning features on our platforms, including CAPEX Academy, where trading is taught through videos, IPOs, a financial dictionary, market overviews and featured articles.
Having available customer support makes a huge difference towards one’s trading experience. CAPEX offers users customer support seven days a week. Our customer support is available through phone, live chat, and email. You can get a relevant response to any query within a day. If you want a quick fix to your issue, we recommend that you visit our FAQs page, where we’ve answered several potential queries in an elaborative manner.
Register
Register an account on CAPEX.com and start trading.Verify
Send over your documents and verify your account.Deposit
Login into your CAPEX.com account and deposit money.Trade
Start trading with CFD’s and over 2100 other instruments.Registering with us at CAPEX shouldn’t take more than a few minutes. Here’s a step by step guide that you can follow:
After that, we’ll place you on the platform according to your trading capacity. We want to ensure that you trade within certain limits and don’t lose your money.
Once you’re done registering, you can deposit funds and begin your trading journey. Since we’re the best broker with the lowest minimum deposit, you can expect to have a smooth and enjoyable trading experience.
CFDs on Commodities are a great way to invest, especially because commodities and stocks don’t act the same way. So if you’re a stock investor and the stock market is being highly volatile, your commodity investments may cover up for that.
Also, several traders find CFD commodities to be highly profitable despite their risky nature. That’s because expert traders always choose the best commodity online broker, focus their energy on continuous learning, and follow a number of strategies to reduce risk.
We at CAPEX, are dedicated to providing our users with the smoothest and most excellent trading experience possible. We achieve that through our user-friendly platforms, wide range of tradable commodities, highly efficient customer support team, and a wide variety of learning tools and features.
If you’re interested in trading commodities to kick start your trading career, you’ve found yourself in the right place. Sign up with us now to begin your trading journey today, or give our demo account a try.