Spread Betting on Royal Mail Shares (RMG)

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Financial Spreads: Spread Betting and CFD Trading

Where Can I Spread Bet on Royal Mail?

A Financial Spreads account provides clients with a range of shares spread betting and CFD markets such as Royal Mail, Rolls-Royce, JP Morgan and BNP Paribas, together with a broad selection of other global equities.

Where Can I Access Live Prices for the Royal Mail Market?

FinancialSpreads offers investors live prices on more than 1,000 spread trading and CFD markets like Royal Mail and a wide variety of other equities, stock market indices, FX and commodities markets.

Where Can I Get Live Royal Mail Charts?

When using a FinancialSpreads account clients can make use of a real-time charting package for Royal Mail and more than 1,000 other spread trading and CFD markets.

As well as the various chart types, the charting package has a wide array of advanced functions:
Sample FinancialSpreads share candlestick chart:

Shares Spread Betting Charts



Financial Spread Betting on Royal Mail

As an example, let's assume that you sign into FinancialSpreads and are presented with something like:

  Royal Mail Rolling Cash Sell

446.29
Buy

447.11


This is an example of how the market works...

The Spread Betting MarketRoyal Mail Rolling Cash
The Spread Betting Price446.29p - 447.11p
What This MeansNow you can take a position on the Royal Mail Rolling Cash market going:

  Spread Betting Above 447.11p, or
  Spread Betting Below 446.29p

This is a Rolling market which means that there is no closing date for this spread bet. If you decide not to close your position and the session ends then your trade will automatically roll over to the next trading day.

Note that if a trade is rolled over then you will either be charged or receive a small fee for overnight financing based on whether you are betting on the market to move lower or higher. For additional details also see Rolling Spread Bets.
Units TradedBets on the Royal Mail market are made in £x per penny price movement.

E.g. if Royal Mail changes by 30p then you would win or lose 30 multiples of your stake.
Stake per UnitYou choose how much you are going to stake per penny, e.g. £3 per penny, £8 per penny, £20 per penny etc.
Simplified Trading ExampleFor example, if you had a stake of £4 per penny and Royal Mail moves 26p, you would lose or gain £4 per penny x 26p = £104.


Worked Spread Trading Example - Buying Royal Mail

Spread trading on the UK share to move up

You Now Select Whether to Go Long or Short Royal Mail moving:

  Spread Betting Above 447.11p? or
  Spread Betting Below 446.29p?

You Might Want to Buy   Spread Betting Above 447.11p
You Decide Your Stake Size, Let's Say You Choose £5 per penny
Now What?
  • You make a profit of £5 for each penny Royal Mail pushes higher than 447.11p
  • You will make a loss of £5 for every penny Royal Mail pushes lower than 447.11p
If You Are Spread Betting on a Market to Increase Your Trading P/L = (Closing Price - Opening Price) x stake
 
Scenario 1
Royal Mail increases and the spread trading market is adjusted and moved to 464.99p - 465.81p, therefore you would see:   464.99   465.81
Close and Take Your Profit? At this point, you could choose to keep your spread bet open or close it, i.e. close your spread bet to lock in your profit. For this example, you choose to close your position by selling the market at 464.99p.
Your Trading P/L = (Closing Price - Opening Price) x stake
(464.99p - 447.11p) x £5 per penny
17.88p x £5 per penny
Your Trading P/L = £89.40 profit
 
Scenario 2
Royal Mail drops and the spread betting market is revised and changes to 430.34p - 431.16p. I.e.   430.34   431.16
Restrict Your Loss? At this point, you can choose to keep your trade open or close it, i.e. close your trade and restrict your loss. In this case you choose to settle your position and sell at 430.34p.
Your Trading P/L = (Closing Price - Opening Price) x stake
(430.34p - 447.11p) x £5 per penny
-16.77p x £5 per penny
Your Trading P/L = -£83.85 loss


Spread Betting Example - Taking a Short Position on Royal Mail

Spread betting on the UK share to move down in value

You Now Select Whether to Buy or Sell Royal Mail to go:

  Spread Betting Above 447.11p? or
  Spread Betting Below 446.29p?

Let's Say You Go Short   Spread Betting Below 446.29p
You Choose How Much to Risk, Let's Say You Select £10 per penny
What Happens Next?
  • You will make a loss of £10 for every penny Royal Mail rises above 446.29p
  • You make a profit of £10 for every penny Royal Mail falls below 446.29p
If You Are Selling a Spread Bet Your Trading P/L = (Opening Price - Closing Price) x stake
 
Scenario 3
Royal Mail pushes lower and the market adjusts and moves to 432.08p - 432.90p. Therefore you would see this on Financial Spreads:   432.08   432.90
Close for a Profit? At this point, you could opt to leave your position open or close it in order to take your profit. In this instance you choose to settle your bet and buy the market at 432.90p.
Your Trading P/L = (Opening Price - Closing Price) x stake
(446.29p - 432.90p) x £10 per penny
13.39p x £10 per penny
Your Trading P/L = £133.90 profit
 
Scenario 4
Royal Mail goes higher and the financial spread betting market is revised to 458.02p - 458.84p:   458.02   458.84
Limit the Loss?At this point, you can choose to leave your trade open or close it in order to restrict your losses. In this instance you decide to close your trade by buying the market at 458.84p.
Your Trading P/L = (Opening Price - Closing Price) x stake
(446.29p - 458.84p) x £10 per penny
-12.55p x £10 per penny
Your Trading P/L = -£125.50 loss

Where Can I Practice Financial Spread Betting on Royal Mail?

FinancialSpreads.com offers a free Demo Account which means you can try out new strategies, try out spread betting and CFD trading, check real-time charts and test new trading orders on spread betting and CFD markets like Royal Mail.

The Practice Account offers more than a handful of markets; you can also get experience using a variety of commodity markets, FX rates, index markets and shares.

Open a Spread Betting and CFD Trading Demo Account


More on Royal Mail plc (RMG)



A common ticker code for Royal Mail is 'RMG' however 'RMG.L' and 'LON:RMG' 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.