Spread Betting & Fixed Odds

Spread Betting companies offer exposure to a range of different assets, but are a far more sofisticated way of trading. Spread Betting should not be undertaken unless the investor has a good knowledge of the mechanisms. We recommend using TD Waterhouse’s trading system, which is suitable for both novices and expert traders.

You can bet that gold will move highr than the spread of $800-840 with in a time frame. If the price moves higher you effectively win, if it moves lower then you will lose. If you bet 1 pound per point, and gold moves to $900, you would make $60. But you could lose this amount if the price went the other way.

This type of betting is used by traders and allows them to make large bets with small initial outlays. companies set up accounts and it is very easy to make bets over the phone.

Fixed Odds bets are a little safer as you know the amount you will lose if things go wrong. With fixed odds bets, you can bet Gold will break through the $1000 barrier within 30 days. The company wil say to win 100 you will need to bet 20 (depending on their calculated likely hood). If it does you win the 100, if it does not then you will lose your outlay. If the price is $800, the higher gold goes, the more your bet is worth and can actually sell the bet back to the company making a profit. BetOnMarkets.com is the best website currently online offering such trading.