Author: Paul Watson

Forex trading can be a lucrative career for those with the appropriate expertise and knowledge. When new traders enter the market, they have two options for trading. One is forex trading, and the second is CFD trading. The majority of traders are aware of forex trading. However most traders are not aware of CFDs. Both are trading instruments. These instruments aid traders to make profitable trades on the market. There are some similarities and some differences between the two. It can be confusing for new traders who are just entering the market to understand both concepts.

Top Forex CFD Trading Platforms For Beginners:

• Skilling Review
• Pionex Review

Doubts are healthy, however, they must be met with a relevant solution. Consequently, the purpose of this post is to shed light about CFD trading. CFD stands for Contract for Difference. CFDs are agreements between two parties that pay the difference between the price of the asset’s opening and closing prices. CFD investors and traders can only make predictions about price without having actual ownership of the asset. The main difference between CFD trading and forex trading is that CFD trading is a variety of contracts covering a wide spectrum of markets like metals, indices, and energy. Forex trading is purely currency trading. 

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