GBP/USD Spread Betting

Where Can I Spread Bet on GBP/USD?

Where Can I Access Live GBP/USD Prices?

Where Can I Get Live GBP/USD Charts?

• Automatic alerts when the markets reach a particular trigger level
• BackTesting and Optimisation functions
• Drawing tools and options - trendlines, Fibonacci time zones, fans and arcs
• Indicators and overlays - Exponential Moving Average, Parabolic SAR and so on
• A large range of time intervals - 3 minutes, 30 minutes, 4 hours and so on

A Guide to Spread Betting on GBP/USD

The Spread Betting Market	GBP/USD Rolling Daily
Quote (The Spread)	$1.61617 - $1.61637
How This Works	Now you can trade on the GBP/USD Rolling Daily market to move:   Above $1.61637, or   Below $1.61617 This spread betting market is a 'Rolling Daily' market and so there is no final closing date. If you don't close your position and the session ends then your position will roll over into the next trading session. Note: if a trade is rolled over then you will normally either be charged or receive interest for overnight financing depending on the direction of your spread bet. For further information also see Rolling Daily Spread Betting.
Traded Units	Trades on the GBP/USD market are made in £x per point. Where a point is $0.00010 of the currency pair’s price movement. E.g. if GBP/USD moves by $0.00500 then you would win or lose 50 times your stake.
Stake per Unit	You choose how much you are going to risk per point, e.g. £1 per point, £8 per point, £10 per point etc.
Quick Staking Example	With that in mind, if your stake was £5 per point and GBP/USD moves $0.00340 (34 points), you would lose or gain £5 per point x 34 points = £170.

Worked Spread Betting Example - Taking a Bullish View of GBP/USD

You Now Decide Whether to Go Long or Short	GBP/USD to push:   Above $1.61637? or   Below $1.61617?
Let’s Assume You Buy	Above $1.61637
You Select Your Stake Size, Selecting	£2 per point
What Happens Next?	You will win £2 for each point ($0.00010) GBP/USD goes higher than $1.61637 You will make a loss of £2 for every point ($0.00010) GBP/USD moves lower than $1.61637
If You Are Going Long of a Market Your P/L =	(Settlement Price - Initial Price) x stake
Trading Scenario 1	GBP/USD rises and the spread betting market becomes $1.62146 - $1.62166, i.e. on Financial Spreads you would see:   1.62146   1.62166
Lock in a Profit?	At this point, you could opt to let your position run or close it and lock in a profit. For this example, you opt to settle your bet and sell at $1.62146.
Your P/L =	(Settlement Price - Initial Price) x stake
	($1.62146 - $1.61637) x £2 per point (£2 per $0.00010)
	$0.00509 x £2 per point
	50.9 points x £2 per point
Your P/L =	£101.80 profit
Trading Scenario 2	GBP/USD goes lower and the financial spread betting market is moved to $1.61047 - $1.61067. So you would see this on Financial Spreads:   1.61047   1.61067
Limit Your Loss?	At this point, you may choose to keep your position open or close it and limit your loss. In this example you decide to close your bet by selling the market at $1.61047.
Your P/L =	(Settlement Price - Initial Price) x stake
	($1.61047 - $1.61637) x £2 per point (£2 per $0.00010)
	-$0.00590 x £2 per point
	-59 points x £2 per point
Your P/L =	-£118.00 loss

Trading Example - Taking a Short Position on GBP/USD

You Now Decide to Go Long or Short	GBP/USD going:   Above $1.61637? or   Below $1.61617?
Let's Say You Sell	Below $1.61617
You Choose How Much to Risk, Let's Say You Opt For	£1 per point
What Next?	You will make a loss of £1 for every point ($0.00010) GBP/USD pushes above $1.61617 You will win £1 for every point ($0.00010) GBP/USD falls lower than $1.61617
If You Are Spread Betting on a Market to Fall Your P/L =	(Initial Price - Settlement Price) x stake
Trading Scenario 3	GBP/USD moves lower and the spread trading market is adjusted and moved to $1.60757 - $1.60777, i.e. the market moves to:   1.60757   1.60777
Close and Take a Profit?	You may decide to keep your trade open or close it to lock in your profit. In this example you choose to close your trade and buy at $1.60777.
Your P/L =	(Initial Price - Settlement Price) x stake
	($1.61617 - $1.60777) x £1 per point (£1 per $0.00010)
	$0.00840 x £1 per point
	84 points x £1 per point
Your P/L =	£84.00 profit
Trading Scenario 4	GBP/USD climbs and the market is revised and changes to $1.62570 - $1.62590, therefore you would see:   1.62570   1.62590
Close and Restrict Your Loss?	You could decide to keep your spread bet open or close it to limit your losses. For this example, you opt to settle your position and buy the market at $1.62590.
Your P/L =	(Initial Price - Settlement Price) x stake
	($1.61617 - $1.62590) x £1 per point (£1 per $0.00010)
	-$0.00973 x £1 per point
	-97.3 points x £1 per point
Your P/L =	-£97.30 loss

•   GBP/USD market notes: example pricing taken from FinancialSpreads as of 25 April 2012
•   Investors could also financial spread bet on GBP/USD in euros per point and dollars per point

Where Can I Practice Financial Spread Betting on GBP/USD?

Financial Spreads Account

• Spread Betting Offer
• Apply for an Account