Spread Betting on the Merck Share Price (MRK)

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Financial Spreads: Spread Betting and CFD Trading

Losses can exceed deposits

Where Can I Spread Bet on Merck & Co?

A FinancialSpreads account provides clients with an array of equities spread betting and contracts for difference markets including Merck & Co, Glencore, Walt Disney and Allianz, together with a selection of other international equities.

Where Can I Access Live Prices for the Merck & Co Market?

A FinancialSpreads account offers clients live prices on 1,000+ financial spread betting and CFD markets such as Merck & Co and a wide array of other shares, forex, stock markets and commodities prices.

Where Can I Get Live Merck & Co Charts?

Using a FinancialSpreads account investors can access a real-time charting package for Merck & Co and numerous other CFD and financial spread betting markets.

The charting package has a wide range of advanced features:
Example equities chart:

Shares Spread Betting Charts



A Guide to Spread Trading on Merck & Co

Let's say you sign into Financial Spreads and see a quote of:

  Merck & Co Rolling Cash Sell

5882.0
Buy

5887.0


This is a guide to how the market works:

The Spread Betting MarketMerck & Co Rolling Cash
Spread5882.0¢ - 5887.0¢
How This WorksYou can spread bet on the Merck & Co Rolling Cash market to push:

  Spread Betting Higher than 5887.0¢, or
  Spread Betting Lower than 5882.0¢

This is a 'Rolling' spread betting market so it does not have a settlement date. If you don't close your trade and the trading session ends then your position will automatically roll over into the next trading day.

Note that if a trade is rolled over then you will either have to pay or receive a small fee for overnight financing based upon the direction of your position. For further details see Rolling Spread Betting.
Points (Units) TradedSpread bets on the Merck & Co market are made in £x per cent price movement.

E.g. if Merck & Co moves by 50.0¢ then you would win or lose 50 times your stake.
Trade SizeYou work out how much you are going to risk per cent, e.g. £1 per cent, £4 per cent, £15 per cent etc.
Brief Staking ExampleIf, as an example, you have a stake of £3 per cent and Merck & Co moves 29.0¢, you would gain or lose £3 per cent x 29.0¢ = £87.


Trading Example - Taking a Bullish View of Merck & Co

Spread trading on the share to increase

You Decide Whether to Go Long or Short Merck & Co going:

  Spread Betting Higher than 5887.0¢? or
  Spread Betting Lower than 5882.0¢?

You Might Choose to Buy   Spread Betting Higher than 5887.0¢
You Decide Your Stake, Let's Assume You Select £3 per cent
What Now?
  • You will make £3 for every cent Merck & Co increases above 5887.0¢
  • Your spread bet loses £3 for each cent Merck & Co pushes lower than 5887.0¢
If You Are Going Long of a Market Your Trading P/L = (Closing Price - Initial Price) x stake
 
Situation 1
Merck & Co increases and the market is revised and set at 5934.1¢ - 5939.1¢, therefore you would see this on Financial Spreads:   5934.1   5939.1
Time to Lock in a Profit? At this point, you could decide to keep your position open or close it, i.e. close your spread bet to lock in your profit. In this instance you decide to close your bet and sell the market at 5934.1¢.
Your Trading P/L = (Closing Price - Initial Price) x stake
(5934.1¢ - 5887.0¢) x £3 per cent
47.1¢ x £3 per cent
Your Trading P/L = £141.30 profit
 
Situation 2
Merck & Co pushes lower and the spread betting market is adjusted and moved to 5845.8¢ - 5850.8¢:   5845.8   5850.8
Restrict Your Loss? At this point, you may opt to keep your trade open or close it, i.e. close your spread bet to restrict your loss. In this instance you opt to settle your trade by selling at 5845.8¢.
Your Trading P/L = (Closing Price - Initial Price) x stake
(5845.8¢ - 5887.0¢) x £3 per cent
-41.2¢ x £3 per cent
Your Trading P/L = -£123.60 loss


Worked Trading Example - Going Short of Merck & Co

Financial spread betting on the share to decrease in value

You Now Work Out Whether to Go Long or Short Merck & Co moving:

  Spread Betting Higher than 5887.0¢? or
  Spread Betting Lower than 5882.0¢?

Let's Assume You Sell   Spread Betting Lower than 5882.0¢
You Choose Your Stake, Let's Assume You Opt For £4 per cent
So Now What?
  • Your spread bet loses £4 for each cent Merck & Co pushes above 5882.0¢
  • You will make £4 for each cent Merck & Co pushes below 5882.0¢
When Spread Betting on a Market to Decrease Your Trading P/L = (Initial Price - Closing Price) x stake
 
Situation 3
Merck & Co goes lower and the spread trading market is adjusted to 5839.4¢ - 5844.4¢, therefore Financial Spreads would show:   5839.4   5844.4
Time to Lock in Your Profit? You can opt to leave your bet open or close it, i.e. close your spread bet for a profit. For this example, you decide to settle your bet by buying at 5844.4¢.
Your Trading P/L = (Initial Price - Closing Price) x stake
(5882.0¢ - 5844.4¢) x £4 per cent
37.6¢ x £4 per cent
Your Trading P/L = £150.40 profit
 
Situation 4
Merck & Co rises and the financial spread betting market changes to 5909.9¢ - 5914.9¢, so you'd see this on Financial Spreads:   5909.9   5914.9
Close and Limit Your Loss?You may choose to keep your bet open or close it and limit your loss. In this case you decide to settle your position and buy at 5914.9¢.
Your Trading P/L = (Initial Price - Closing Price) x stake
(5882.0¢ - 5914.9¢) x £4 per cent
-32.9¢ x £4 per cent
Your Trading P/L = -£131.60 loss

Where Can I Practice Financial Spread Betting on Merck & Co?

FinancialSpreads offer a Demo Account that allows investors to check the live charts, practice trading, try out new trading theories and practice with trading orders on CFD and spread betting markets like Merck & Co.

The Practice Account has a wide selection of markets such as equities, indices, commodities and exchange rates.

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