Spread Betting on Rio Tinto Shares (RIO.L)

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Financial Spreads: Spread Betting and CFD Trading

Where Can I Spread Bet on Rio Tinto?

A FinancialSpreads account offers a variety of equities CFD and spread trading markets like Rio Tinto, Morrisons, JP Morgan and Societe Generale, together with a host of other UK, US and international stocks.

Where Can I Access Live Prices for the Rio Tinto Market?

When using a Financial Spreads account clients can access over 1,000 live CFD trading and spread betting prices like Rio Tinto and a range of other equities, foreign exchange, indices and commodities prices.

Where Can I Get Live Rio Tinto Charts?

When trading with FinancialSpreads clients can access live charts for Rio Tinto and numerous other CFD and spread betting markets.

As well as several chart types, the package has a wide variety of advanced functions that include:
Example Financial Spreads equities trading chart:

Shares Spread Betting Charts



A Guide to Spread Trading on Rio Tinto

Let's assume that you look at FinancialSpreads and see the live price is:

  Rio Tinto Rolling Cash Sell

3156.8
Buy

3161.7


Here is a brief guide to how it works.

The Spread Betting MarketRio Tinto Rolling Cash
The Spread Betting Quote3156.8p - 3161.7p
This MeansYou can spread bet on the Rio Tinto Rolling Cash market to push:

  Spread Betting Above 3161.7p, or
  Spread Betting Below 3156.8p

This market is a 'Rolling' market which means that there is no expiry date for this spread bet. If you haven't closed your position and the trading session ends then your position will roll over to the next session.

If the trade is rolled over then you will either pay or receive a small fee for overnight financing depending upon whether you are betting on the market to increase or decrease. For additional details see Rolling Spread Betting.
Traded UnitsBets on the Rio Tinto market are made in £x per penny price movement.

E.g. if Rio Tinto moves 50p then you would lose or win 50 times your stake.
Stake per UnitYou decide how much you are going to trade per penny, e.g. £1 per penny, £4 per penny, £20 per penny etc.
Quick Staking ExerciseIf, for example, you have a stake of £3 per penny and Rio Tinto changes by 25p, you would win/lose £3 per penny x 25p = £75.


Trading Example - Going Long of Rio Tinto

Spread trading on the share to go up in value

You Now Select Whether to Go Long or Short Rio Tinto going:

  Spread Betting Above 3161.7p? or
  Spread Betting Below 3156.8p?

Let's Say You Decide to Go Long   Spread Betting Above 3161.7p
You Choose Your Stake Size, Let's Assume You Choose £1 per penny
Now What?
  • You make a gain of £1 for every penny Rio Tinto pushes higher than 3161.7p
  • You will make a loss of £1 for each penny Rio Tinto moves below 3161.7p
If You Go Long With a Spread Bet Your P/L = (Settlement Price - Opening Price) x stake
 
Situation 1
Rio Tinto goes higher and the spread trading market changes to 3288.2p - 3293.1p. So you would see this on Financial Spreads:   3288.2   3293.1
Close and Take Your Profit? You could decide to keep your spread bet open or close it in order to take your profit. In this case you opt to close your bet by selling the market at 3288.2p.
Your P/L = (Settlement Price - Opening Price) x stake
(3288.2p - 3161.7p) x £1 per penny
126.5p x £1 per penny
Your P/L = £126.50 profit
 
Situation 2
Rio Tinto decreases and the spread betting market is revised and is set at 3051.0p - 3055.9p:   3051.0   3055.9
Restrict the Loss? At this point, you may choose to keep your position open or close it, i.e. close your position and limit your losses. In this case you decide to close your trade and sell the market at 3051.0p.
Your P/L = (Settlement Price - Opening Price) x stake
(3051.0p - 3161.7p) x £1 per penny
-110.7p x £1 per penny
Your P/L = -£110.70 loss


Spread Betting Example - Taking a Bearish View of Rio Tinto

Financial spread betting on the share to decrease

You Consider Whether to Go Long or Short Rio Tinto moving:

  Spread Betting Above 3161.7p? or
  Spread Betting Below 3156.8p?

Let's Say You Want to Go Short   Spread Betting Below 3156.8p
You Select Your Stake Size, Selecting £2 per penny
So What Now?
  • You will make a loss of £2 for each penny Rio Tinto rises higher than 3156.8p
  • You make a gain of £2 for each penny Rio Tinto pushes below 3156.8p
When You Sell a Spread Bet Your P/L = (Opening Price - Settlement Price) x stake
 
Situation 3
Rio Tinto pushes lower and the financial spread betting market is adjusted to 3076.1p - 3081.0p. So you'd see this on Financial Spreads:   3076.1   3081.0
Take a Profit? You could choose to keep your bet open or close it to lock in your profit. In this case you decide to settle your trade and buy at 3081.0p.
Your P/L = (Opening Price - Settlement Price) x stake
(3156.8p - 3081.0p) x £2 per penny
75.8p x £2 per penny
Your P/L = £151.60 profit
 
Situation 4
Rio Tinto climbs and the market moves to 3218.2p - 3223.1p. Therefore you would see this on Financial Spreads:   3218.2   3223.1
Restrict Your Loss?At this point, you can choose to keep your position open or close it and limit your loss. For this example, you choose to settle your bet and buy the market at 3223.1p.
Your P/L = (Opening Price - Settlement Price) x stake
(3156.8p - 3223.1p) x £2 per penny
-66.3p x £2 per penny
Your P/L = -£132.60 loss

Where Can I Practice Financial Spread Betting on Rio Tinto?

Financial Spreads provides traders with the chance to put one's skills to the test by using a free Practice Account, test markets include Rio Tinto.

The Financial Spreads Demo Account offers a wide range of markets such as stock market indices, FX rates, commodities and stocks and shares.


More on Rio Tinto plc (RIO)



A common ticker code for Rio Tinto is 'RIO' however 'RIO.L' and 'LON:RIO' 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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Also see:
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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.