Trade Indices CFDs
Access the global market with competitive spreads and leverage.
Indices Trading
Swift Trader provides exposure to the major global stock indices through index Contracts for Difference ("CFDs"). CFD indices trading is a form of derivative trading that allows investors to speculate on the price movements of stock market indices, such as the S&P 500, FTSE 100, or DAX 30, without owning the actual underlying assets. Traders enter into an agreement with a broker to exchange the difference in the index's value from the time the contract is opened to when it is closed.
When trading indices via CFDs, traders predict whether the value of an index will rise or fall:
- Going long: If a trader believes the index will increase, they buy a CFD. If the price rises, they profit from the difference.
- Going short: If the trader expects the index to drop, they sell a CFD. If the price falls, they profit from the decline.
Why trade with Swift Trader
Indices Facts
- Up to 1:1000 leverage
- Razor-thin spreads from 0.0 pips
- 9 Index CFD Indices
- Deep liquidity
- Trade 24 hours a day, five days a week
- Trade indices for exposure to entire sectors or economies
We provide some of the tightest spreads in the global CFD market. Our combination of competitive spreads and low-latency, enterprise-grade infrastructure makes Swift Trader the perfect choice for active day traders and those utilising Expert Advisors.
How Trading Indices CFDs Works
Trading Mechanism:
An index CFD allows investors to trade in the underlying index by speculating about its future price movement. Index CFDs offers several benefits for both beginner traders and experienced traders
- Diversification: Index CFDs allow traders to gain exposure to a basket of stocks rather than a single company. By trading an index, such as the S&P 500 or FTSE 100, you are effectively diversifying your investments across multiple sectors, reducing the risk associated with individual stock volatility.
- Leverage: Index CFD trading offers leverage, meaning traders can open larger positions with a smaller initial investment. This can amplify potential profits, but it also increases risk.
- No Expiry Dates: Unlike futures contracts, Index CFDs typically have no expiry dates. This allows traders to hold positions for as long as they wish without worrying about contract expiration.
- Hedging: Traders and investors can use Index CFDs as a hedging tool to protect their portfolios from adverse market movements. For instance, if an investor holds a portfolio of stocks, they can short an index CFD to offset potential losses during a market downturn.
- Less Volatile: Traders and investors can use Index CFDs as a hedging tool to protect their portfolios from adverse market movements. For instance, if an investor holds a portfolio of stocks, they can short an index CFD to offset potential losses during a market downturn.
Brief History of Forex Trading:
Origins: Forex trading has been around since the early 1970s when the Bretton Woods system of fixed exchange rates ended. This led to the emergence of floating exchange rates and a global forex market where currencies are traded freely.
Most popular indices:
Overview: The forex market is the largest and most liquid financial market in the world, with an average daily trading volume exceeding $6 trillion. It operates 24 hours a day, five days a week, across major financial centres in New York, London, Tokyo, and Sydney.
The most popular ones are:
FTSE All-World Index
S&P 500
DJIA
Nasdaq Composite
US30
US500
US Tech 100
DAX
S&P/ASX 200
FTSE 100
CAC40
Euro Stoxx 50
Nikkei 225
Liquidity Providers:
Role: Liquidity providers are financial institutions that facilitate trading by offering buy and sell prices for currency pairs. They ensure that traders can execute trades efficiently and at competitive prices.
Types: Major banks and financial institutions act as liquidity providers. They offer tight spreads and deep liquidity, which helps to maintain market stability and minimise slippage.
Technology and Infrastructure:
Equinix Servers: Swift Trader utilises Equinix servers, which are strategically located in major financial hubs to ensure low latency and fast execution times. Equinix’s high-performance infrastructure enhances connectivity and reliability, providing traders with a seamless trading experience.
Advanced Platforms: Our trading platforms, MT5, is designed to handle high-frequency trading and large volumes with minimal latency. Features include real-time quotes, advanced charting tools, and customisable trading indicators.
What Swift Trader Offers
By offering Indices CFDs, Swift Trader provides traders with the tools and infrastructure needed to navigate the dynamic forex market and capitalise on trading opportunities.
Including extended trading hours
Benefit from tight spreads and leverage up to 1000:1, allowing you to maximise your trading potential.
Key benefits of CFDs with Swift Trader
CFDs provides a number of benefits which must be weighed against the risks of using them. Some of the benefits of CFDs are as follows:
Automated trading
Custom leverage options
Hedge your exposure
Trade from anywhere
Profit in both ways
Tailored to suit
TRADING EUR/USD & GBP/USD
Forex trading examples
Trade CFDs Like a Pro with MetaTrader 5
- Real-time price quotes
- Advanced charting tools
- Customisable trading indicators
- One-click trading
What makes Swift Trader preferred by traders
Discover why traders choose Swift Trader for its unbeatable combination of advanced tools, fast execution, and competitive trading conditions.
Sincerity of Customer Support
Raw spreads from 0.1 pips
Micro lots available
Up to 1:400 Leverage
Negative Balance Protection
300+ trading instruments
Crypto as a funding method
Fast withdrawals
3 Step account opening
Ready to get started?
Sign up and access the Global Markets in less than 3 minutes
We offer one of the most competitive CFD trading experiences globally. Gain access to the world’s largest and most liquid market with raw spreads starting as low as 0.0 pips.
