Guide to Euro/New Zealand Dollar Spread Betting

Support: +44 (0) 203 301 0483 | support@financialspreads.com
Financial Spreads: Spread Betting and CFD Trading

Where Can I Spread Bet on EUR/NZD?

When trading with a Financial Spreads account clients can trade on a wide range of foreign exchange pairs, CFD and spread betting markets include EUR/NZD in addition to the sterling/dollar, euro/dollar and US dollar/Japanese yen.

Where Can I Access Live EUR/NZD Prices?

With a FinancialSpreads account you can take a position on more than 1,000 real-time prices like EUR/NZD and a large range of other foreign exchange, commodities, equities and stock markets.

Where Can I Get Live EUR/NZD Charts?

When trading with a Financial Spreads account investors can use live trading charts for EUR/NZD and over a thousand other markets.

As well as several display styles, the charting package also has a wide variety of features. These include:
Sample FX rate spread betting chart:

Forex Spread Betting Charts



A Guide to Financial Spread Betting on EUR/NZD

As an example, let's say you go on Financial Spreads and the live quote is:

  EUR/NZD Rolling Spot Sell

1.5303
Buy

1.5307


Here's an example of how it works...

Spread Betting Market:EUR/NZD Rolling Spot
The Spread Betting Quote:NZ$1.5303 - NZ$1.5307
How the Trade Works:Now you can speculate on the EUR/NZD Rolling Spot market going:

  Spread Betting Above NZ$1.5307, or
  Spread Betting Below NZ$1.5303

This spread betting market is a 'Rolling' market and so there is no expiry date. If you haven't closed your position and the session ends then your position will automatically roll over into the next trading session.

If a trade rolls over then you will either receive or be charged interest for overnight financing depending on whether you are betting on the market to go down or up. For more details also see Rolling Spread Bets.
Points (Units) Traded:Bets on the EUR/NZD market are made in £x per point.

Where a point is NZ$0.0001 of the FX market's price movement.

E.g. if EUR/NZD moves by NZ$0.0055 then you would win / lose 55 times your stake.
Stake:You choose how much you would like to risk per point, e.g. £3 per point, £8 per point, £15 per point etc.
Simplified Example:As an example, if you decided on a stake of £2 per point and EUR/NZD changes by NZ$0.0029 (29 points), you would lose or win £2 per point x 29 points = £58.


Trading Example - Taking a Bullish View of EUR/NZD

Financial spread betting on the forex rate to go up

You Now Consider Whether to Go Long or Short: EUR/NZD to push:

  Spread Betting Above NZ$1.5307? or
  Spread Betting Below NZ$1.5303?

Let's Assume You Decide to Go Long:   Spread Betting Above NZ$1.5307
You Decide How Much to Risk, Selecting: £2 per point
Now What?
  • You will make £2 for every point (NZ$0.0001) EUR/NZD pushes higher than NZ$1.5307
  • You will make a loss of £2 for each point (NZ$0.0001) EUR/NZD falls below NZ$1.5307
When Buying a Market Your Profits/Losses = (Closing Price - Opening Price) x stake
 
Example 1
EUR/NZD rises and the market is adjusted to NZ$1.5376 - NZ$1.5380, i.e. the market moves to:   1.5376   1.5380
Time to Lock in a Profit? You could opt to let your position run or close it and lock in a profit. In this instance you opt to settle your bet by selling at NZ$1.5376.
Your Profits/Losses = (Closing Price - Opening Price) x stake
(NZ$1.5376 - NZ$1.5307) x £2 per point (£2 per NZ$0.0001)
NZ$0.0069 x £2 per point
69 points x £2 per point
Your Profits/Losses = £138 profit
 
Example 2
EUR/NZD drops and the spread trading market is moved to NZ$1.5246 - NZ$1.5250, so you'd see:   1.5246   1.5250
Restrict the Loss? At this point, you may opt to let your bet run or close it, i.e. close your spread bet and restrict your loss. In this example you choose to close your position by selling the market at NZ$1.5246.
Your Profits/Losses = (Closing Price - Opening Price) x stake
(NZ$1.5246 - NZ$1.5307) x £2 per point (£2 per NZ$0.0001)
-NZ$0.0061 x £2 per point
-61 points x £2 per point
Your Profits/Losses = -£122 loss


Worked Spread Trading Example - Selling EUR/NZD

Online spread betting on the forex rate to move down

You Now Work Out Whether to Buy or Sell: EUR/NZD moving:

  Spread Betting Above NZ$1.5307? or
  Spread Betting Below NZ$1.5303?

Let's Assume You Go Short:   Spread Betting Below NZ$1.5303
You Decide Your Stake Size, Let's Assume You Choose: £3 per point
What Now?
  • You will make a loss of £3 for each point (NZ$0.0001) EUR/NZD goes higher than NZ$1.5303
  • You will make £3 for each point (NZ$0.0001) EUR/NZD decreases lower than NZ$1.5303
When You Go Short With a Spread Bet Your Profits/Losses = (Opening Price - Closing Price) x stake
 
Example 3
EUR/NZD pushes lower and the spread betting market is revised to NZ$1.5247 - NZ$1.5251, therefore you would see this on Financial Spreads:   1.5247   1.5251
Close for a Profit? You could choose to leave your bet open or close it, i.e. close your position for a profit. For this example, you opt to close your bet by buying at NZ$1.5251.
Your Profits/Losses = (Opening Price - Closing Price) x stake
(NZ$1.5303 - NZ$1.5251) x £3 per point (£3 per NZ$0.0001)
NZ$0.0052 x £3 per point
52 points x £3 per point
Your Profits/Losses = £156 profit
 
Example 4
EUR/NZD moves higher and the financial spread betting market is adjusted and moved to NZ$1.5345 - NZ$1.5349:   1.5345   1.5349
Close and Limit Your Loss?At this point, you could opt to leave your spread bet open or close it, i.e. close your trade to restrict your losses. For this example, you opt to settle your position and buy at NZ$1.5349.
Your Profits/Losses = (Opening Price - Closing Price) x stake
(NZ$1.5303 - NZ$1.5349) x £3 per point (£3 per NZ$0.0001)
-NZ$0.0046 x £3 per point
-46 points x £3 per point
Your Profits/Losses = -£138 loss

Where Can I Practice Financial Spread Betting on EUR/NZD?

FinancialSpreads gives investors the chance to try new trading theories by using a free Practice Account on markets like EUR/NZD.

The Financial Spreads Demo Account comes with more than the above; traders are also able to try trading on a large selection of exchange rates, stocks and shares, commodities and indices.

Open a CFDs / Spread Betting Demo Account



Contact Customer Support

+44 (0) 203 301 0483
support@financialspreads.com

Also see:
80% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
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.