Bid vs Ask

What are the risks? There are a few risks that you should consider when trading with the bid and ask spread. We’ve highlighted some of the critical risks below to consider if you want to trade the bid and ask spread with us at CAPEX. Variable spread Although there are moments where there is a narrow spread between the bid and ask prices, it can be hazardous, and the spread could widen at any moment. The traders and investors shouldmore

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What Is Beta Of Stock?

Risks of using beta of stocks We’ve highlighted some benefits of using the beta of stocks, so we also wanted to discuss the disadvantages of this method and the risks associated with it if you choose to trade using the beta of stocks on CAPEX. Volatility Assets in the stock market can be highly volatile, some more than others. It can be used to an investors advantage, however. The higher the volatility of movement, the higher the beta value andmore

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How To Trade WallStreetBets Stocks with CFDs

Risks of following WallStreetBets Unreliable sources Many of the members and contributors are amateur traders, so they might not have the most reliable trading knowledge. The subreddit promotes high-risk stock trading methods that may not work for everyone. So we recommend that you do the necessary fundamental and technical research before going off on what you see being posted. Similarly, suppose there is a rumour about a company. In that case, it may not be accurate, so it’s wise notmore

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Stocks After Hour Trading

Risks of after hours trading Stock after-hours trading has its benefits but it also comes with risk. We’ve highlighted a few key risks below. Wide spreads Due to the lower trading volume, this can result in a wider spread between the bid price and the ask prices. With the wider spreads, it could lead to traders not being able to execute a trade at their ideal price but settling for what is on offer at the time. Although the ECNsmore

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Short Squeeze Example

Risks of the short squeeze There are a few key risks we wanted to highlight before you consider trading the short squeeze strategy. False signal There could be an initial spike in the stock’s price, but this could be a false positive signal if it occurs without an increase in volume. At CAPEX, we provide our customers with a fantastic amount of trading support and advice, so you know what other trading signals and indicators to look out for thatmore

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Is The Stock Market Open On The Weekends?

Risks of trading on the weekend Weekend trading does have several advantages, but it also comes with risks. We looked at a few key limitations and highlighted them below for you to look out for. Different time zones Although this may work in your favour, it is also a significant risk because your body clock may not take well to some of the hours other stock exchanges operate on. For example, the Middle East Stock Exchanges have a lot tomore

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Stocks In The Dow

Reasons to be careful when trading stocks in the Dow We’ve gone to great lengths to state that any stock on the Dow Jones Industrial Average is only there because it has demonstrated sustained profits. However, there have been numerous crashes of the Dow Jones in recent times. After all, March 2020 saw nearly 13% wiped off the value of the DAW. Prior to this, the economic crash of 1987 gave the Dow its largest daily percentage loss of 22%.more

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Meme Stocks Meaning

Reasons to be cautious before buying meme stocks A core part of the meme stocks meaning is the fact that the rapid growth of these stocks has no logical justification. Instead, a meme stock will come in as a result of little more than hype on social media sites. This means that once the hype has passed, the chances are that the value of the stock will plummet just as quickly as it grew in the first place. This wasmore

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Stocks With Best Dividends

What’s the difference between CFDs, dividend stocks and dividend funds? There are three main ways to invest in dividend stocks. The most obvious way is to buy individual dividend stocks, while you might also see the option to buy dividend stocks as part of an exchange-traded fund (ETF). However, we, at CAPEX, feature a CFD way of trading that means that you don’t have to go through the whole process of actually buying the dividend stocks. Buying CFDs is fastermore

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Technical Analysis For Trading

Practice with the CAPEX demo account Trading strategies can be difficult to get the hang of and a lot can happen very quickly. You may even already understand a few charts but lack the confidence to execute the trade. This is where the CAPEX demo account is perfect. It’s free to all CAPEX users and allows traders to follow the live markets but execute virtual trades with zero risk. You can practice trading with technical analysis and have no fearmore

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