Contracts for Difference

They have taken Europe by storm and are fast becoming the product of choice for short-term traders in Australia. Contracts for Difference were previously only available to institutional traders but now Australian private investors can trade this revolutionary new product. No other tool allows investors to profit from either a bull or bear market, using a fraction of the capital required for traditional share trading, while paying no commissions.

Contracts for Difference is the first Australian book on the subject. In her easy-to-read, jargon-free style, author Catherine Davey outlines the background to CFDs, then goes on to look at: how CFDs are traded; CFDs compared to shares, options, warrants and futures; using CFDs to profit from rising and falling markets; analysis techniques using charts; short-term trading with CFDs; and trading psychology.

Preface xi

Introduction xiii

Getting started 1

Week 1: The first cut 17

Week 2: Lunch is for wimps 35

Week 3: Into the abyss 51

Week 4: Wealth god smiles 65

Week 5: Avoiding Waterworld 77

Week 6: Addicted to trading 91

Week 7: My $10 000 week 101

Week 8: Subliminal messages 115

Week 9: Trading sucks sometimes 129

Week 10: Denial and regret 143

Week 11: Dogs with nine lives 155

Week 12: Golden sheaf 167

Week 13: Blonde psycho 177

Week 14: Out with a bang 193

Postscript 203

Hindsight 205

Index 215

Catherine Davey is a consultant to the CFD industry and one of the most popular technical analysts in Australia, well known for her articles in the trading press and as a speaker on the seminar circuit. She holds a Master of Business.