Spread Betting on Associated British Foods Shares (ABF.L)

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Financial Spreads: Spread Betting and CFD Trading
Associated British Foods Spread Betting

Where Can I Spread Bet on Associated British Foods?

A Financial Spreads account offers clients a large range of stocks and shares such as Associated British Foods, AstraZeneca, Walt Disney and Telefonica, plus numerous other international shares.

Where Can I Access Live Prices for the Associated British Foods Market?

When trading with FinancialSpreads clients are able to speculate on numerous real-time CFD trading and spread betting prices including markets like ABF and a range of other equities, stock indices, FX and commodities prices.

Where Can I Get Live Associated British Foods Charts?

When trading with FinancialSpreads you are able to access a real-time charting package for Associated British Foods and over a thousand other CFD and spread trading markets.

Along with the various display styles, the package also comes with a wide range of benefits:
Example Financial Spreads equity trading chart:

Shares Spread Betting Charts



A Guide to Spread Betting on Associated British Foods

For example, let's imagine that you look at Financial Spreads and see:

  Associated British Foods Rolling Cash Sell

2908.0
Buy

2914.0


Here is a brief example of how the market works:

Spread Trading MarketAssociated British Foods Rolling Cash
The Price2908.0p - 2914.0p
How the Market WorksNow you can bet on the ABF Rolling Cash market to go:

  Spread Betting Above 2914.0p, or
  Spread Betting Below 2908.0p

This market is a 'Rolling' market and so there is no final closing date for this trade. If you haven't closed your trade and the trading session ends then your position will automatically roll over to the next trading day.

If a trade rolls over then you will either have to pay or receive interest for overnight financing based upon whether you are betting on the market to move higher or lower. For further details see Rolling Spread Bets.
Units TradedSpread betting trades on the Associated British Foods market are priced in £x per penny price movement.

E.g. if Associated British Foods changes by 30p then you would lose or win 30 multiples of your stake.
Stake SizeYou work out how much you want to trade per penny, e.g. £2 per penny, £8 per penny, £10 per penny etc.
Staking ExampleFor example, if you have a stake of £3 per penny and Associated British Foods moves 32p, you would lose/win £3 per penny x 32p = £96.


Worked Spread Betting Example - Taking a Bullish View of Associated British Foods

Spread trading on the equity to increase in value

You Now Decide to Go Long or Short Associated British Foods moving:

  Spread Betting Above 2914.0p? or
  Spread Betting Below 2908.0p?

Let's Say You Buy   Spread Betting Above 2914.0p
You Choose Your Stake, Let's Assume You Select £2 per penny
What Next?
  • You will make £2 for every penny Associated British Foods rises above 2914.0p
  • You will lose £2 for each penny Associated British Foods moves lower than 2914.0p
When Going Long of a Market Your Trading Profits (or Losses) = (Settlement Price - Opening Price) x stake
 
Example 1
ABF pushes higher and the spread betting market becomes 3011.6p - 3017.6p, i.e. on Financial Spreads you would see:   3011.6   3017.6
Close for a Profit? At this point, you may choose to let your position run or close it and lock in a profit. In this case you decide to settle your position by selling at 3011.6p.
Your Trading Profits (or Losses) = (Settlement Price - Opening Price) x stake
(3011.6p - 2914.0p) x £2 per penny
97.6p x £2 per penny
Your Trading Profits (or Losses) = £195.20 profit
 
Example 2
Associated British Foods drops and the financial spread betting market is adjusted and moved to 2829.5p - 2835.5p. Therefore Financial Spreads would show:   2829.5   2835.5
Close and Restrict Your Loss? You can decide to let your bet run or close it to limit your losses. In this example you opt to settle your bet by selling the market at 2829.5p.
Your Trading Profits (or Losses) = (Settlement Price - Opening Price) x stake
(2829.5p - 2914.0p) x £2 per penny
-84.5p x £2 per penny
Your Trading Profits (or Losses) = -£169.00 loss


Worked Spread Trading Example - Taking a Short Position on Associated British Foods

Spread betting on the equity to move down in value

You Consider Whether to Go Long or Short Associated British Foods to move:

  Spread Betting Above 2914.0p? or
  Spread Betting Below 2908.0p?

Let's Assume You Sell   Spread Betting Below 2908.0p
You Choose How Much to Risk, Let's Assume You Opt For £3 per penny
What Happens Now?
  • You will lose £3 for each penny Associated British Foods increases higher than 2908.0p
  • You will make £3 for each penny Associated British Foods falls below 2908.0p
If You Are Speculating on a Market to Go Down Your Trading Profits (or Losses) = (Opening Price - Settlement Price) x stake
 
Example 3
ABF falls and the market is revised and moved to 2828.9p - 2834.9p. Therefore you'd see this on Financial Spreads:   2828.9   2834.9
Time to Lock in Your Profit? At this point, you may decide to let your spread bet run or close it, i.e. close your position to lock in your profit. For this example, you opt to settle your position and buy the market at 2834.9p.
Your Trading Profits (or Losses) = (Opening Price - Settlement Price) x stake
(2908.0p - 2834.9p) x £3 per penny
73.1p x £3 per penny
Your Trading Profits (or Losses) = £219.30 profit
 
Example 4
Associated British Foods moves higher and the spread trading market is revised and set at 2965.2p - 2971.2p:   2965.2   2971.2
Close and Limit the Loss?At this point, you may decide to leave your trade open or close it in order to limit your loss. In this example you choose to settle your bet by buying the market at 2971.2p.
Your Trading Profits (or Losses) = (Opening Price - Settlement Price) x stake
(2908.0p - 2971.2p) x £3 per penny
-63.2p x £3 per penny
Your Trading Profits (or Losses) = -£189.60 loss

Where Can I Practice Financial Spread Betting on Associated British Foods?

FinancialSpreads gives you the chance to test new trading ideas and theories by using a Demo Account on CFD and spread betting markets such as Associated British Foods.

The Financial Spreads Demo Account offers more than the above; investors can gain trading experience with a wide range of commodities, currencies, index markets and stocks and shares.


More on Associated British Foods plc (ABF)



A common ticker code for Associated British Foods is 'ABF' however 'ABF.L' and 'LON:ABF' are also used.

For more news and information on the UK firm, also see: Financial Spreads is not responsible for the content of external / third party websites.


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Spread betting & CFDs trading are complex instruments & come with a high risk of losing money rapidly due to leverage. 80% of retail investor accounts lose money when trading these products with this provider. You should consider whether you understand how these products work & whether you can afford to take the high risk of losing your money. Click here to see the risk warning notice.