How to Place Trades
Analysing and using the Trendsignal trading software and technical indicators will help you make your trading decisions. However, Trendsignal is not a trading platform. In order to place trade and make your investments, you will need a broker.
The financial services industry offers a wealth of choices for you. Online trading has also made them extremely attractive. This is great news for us. We now have the ability to trade quickly and efficiently with minimum dealing costs. In fact, with the success of the internet, the gap between the sophisticated fund manager and home traders has been closed. We are now offered as standard many of the services only ever previously offered to wealthy investors and institutions.
Trendsignal have partnered with the UK brokerage, TMS Capital Limited. Through their retail divisions at Twowaymarkets and Twowayspreads, we are able to offer all traders (not just Trendsignal clients) access to some of the most efficient trading accounts available.
Traders typically choose to speculate on the markets using one of the below. Click on the options to learn more:
Spread Betting
A hugely popular form of investment in the UK, where you do not take physical ownership of the trade, merely bet on the price direction. If you feel a market will rise, you place an up bet (buy or “go long”) and if you feel the market will fall, you place a down bet (sell or “go short”). Since all you are doing is betting on price movement, it is also tax free in the UK (under current legislation) and in other territories. This is great news for Trendsignal customers. If a profitable trader, you will have no tax to pay on trading profits made.
Twowaymarkets offer spread betting through a number of spread betting companies:
The rapidly growing spread betting company Twowayspreads, offers clients a low cost and efficient spread betting platform. They have the tightest spreads in the market place on their headline Index and FX markets. Click here to view www.twowayspreads.com and discover more about financial spread betting.
Twowaymarkets have also partnered with IG Group PLC, to offer financial spread betting accounts with market leading company, IG Index. With an excellent dealing platform and broad product range, they will offer you all you need to place your trades efficiently. Click here to view IG Index and apply for a spread betting account.
CFDs
A mix between Shares and Spread Betting really. Contracts for Difference (CFDs) allow you to speculate on share price movement needing only a small deposit (typically 10%). Trading on margin allows greater potential reward (and risk!). Like spread betting, you never take physical ownership of the shares so no Stamp Duty is paid on UK Equity CFDs. Profits however, like shares, are liable to capital gains tax. The ability to go long and short makes them excellent for hedging existing share holdings.
Twowaymarkets offers CFDs to traders of all markets. They offer an excellent trading platform and extremely competitive commissions. In fact, their unique trading platform will allow you to trade CFDs, Shares, Forex and Futures all from the one platform.
Forex
Because of the success of spread betting in the UK, Forex brokers are less popular on these shores. Globally however, where spread betting is not so tax efficient, Forex traders typically trade with specialist forex brokers. Most of these however are to be treated with caution. Forex is a rather unregulated industry and there are some poor brokers out there. We recommend going with a broker that is FSA authorised and regulated. To that end, call the trading desk at Twowaymarkets (+44 (0)207 0991138) and they will happily advise you of the FX broker most suited to your trading.
Shares
Traditionally, if you wanted to speculate on shares, you had to do so through your stock broker. Commissions rates have been reduced greatly making this a more attractive way to trade, but in our opinion, they are to be avoided unless you are holding positions for long periods. If trading, you should look to CFDs and Spread betting for your share or equity speculation.
The reason for this is that they offer no leverage (must be paid for in full), you pay stamp duty and a PTM levy making them more costly. Capital gains tax is applicable on profits. Also, the inability to go short for any length of time makes them extremely inefficient for the modern trader.
However, if looking for a long term portfolio, they are very much the way to trade. As mentioned above, Twowaymarkets offers shares to traders of all markets. They offer an excellent trading platform and extremely competitive commissions. In fact, their unique trading platform will allow you to trade CFDs, Shares, Forex and Futures all from the one platform.
Futures
Futures are hugely popular around the globe. They are exchange traded products on which you speculate as to future price change. They use leverage to help you to exaggerate your returns. These are some of the most liquid contracts in the world. At Trendsignal, we love to chart index futures like the e-mini S&P and Mini Dow. They are excellent markets to trade especially if you only have time to trade in the evening.
Since profits are liable to CGT in the UK, spread betting companies including Twowayspreads offer the ability to spread bet on futures prices. This means you can trade such markets without paying tax on profits you make using Trendsignal.
Profit from the power
