Financial Betting Online
Introduction to Financial Betting - One particular form of betting that has become popular in recent years is betting on the worlds financial markets. Trading stocks and shares on the market has long been a common form of investment, primarily by professional investors but also by many amateurs who enjoy trying their hand at buying and selling shares. Financial betting is a similar concept to stock trading but with one fundamental difference – you don’t have to actually own any shares. Essentially, you place a wager on whether you believe the value of specific shares will rise or fall in a given time frame. If you predict correctly then your bet is a winner.
Best Financial Betting Sites
There are many advantages of financial betting over the physical trading of shares. For starters, every time you buy or sell stock you have to pay a commission to a broker. As online financial betting and wagering does not involve purchasing shares, there is no commission to pay. It is also much easier to make money in a falling market, as you can bet on share values reducing in value.
Types of Financial Betting And Wagering
Financial betting sites offer a number of different markets, all of which are slightly different way of betting on the various financial markets. The four main markets for financial betting are as follows :
- Forex And Currencies
- Binary Betting Online
Share betting is fairly self explanatory and one of the more simple forms of financial gambling. Essentially you are predicting the share performance for a specific company over an agreed amount of time which can range from minutes, days, even months. For example, let’s imagine you believed that the stock price of a particular company was going to rise over a 3 month period. Rather than buying shares in the company, then selling once they go up, you could simply place a wager at financial betting sites instead. You can usually predict the share price of all major companies and all major markets world wide.
Index betting is predicting the performance of one of the global indices, such the FTSE 100 or the Dow Jones Index. As the price movement of indices is generally less volatile and easier to predict that in individual company, index betting is very popular at financial gambling websites.
Foreign exchange betting or "Forex" allows you to match up pairs of virtually any global currency and bet on how they perform against each other. For example, if you believe that the US Dollar will increase in value against the Euro in a given time frame, then you can back your judgement by placing a wager on that outcome. As another example, you could predict that the Pound Sterling will decrease in value against the Japanese Yen.
Commodity betting is where you have the opportunity to bet on the rise or fall in the value of various commodities. Most vital resources, such as crude oil, wheat or coffee have a global trading value. Finacial betting sites enable you to gamble on whether you think a particular commodity will increase or decrease in value over a certain period of time.
Fixed Odds Financial Bets And Wagers
Most financial betting websites will provide fixed odds for the markets they offer. Fixed odds means you are given a price, and if your selection wins you are paid out that amount. Fixed odds are usually in of two formats – either fractional odds such as 2/1 or decimal odds such as 5.5. A winning wager of $10 at 2/1 would return $20 plus the original stake. At 5.5, the same wager would return $55 including the original stake.
Financial Spread Betting
Financial spread betting online is somewhat more complex than fixed odds. Spread betting on the financial markets carries a lot more risk, but also the potential for greater returns. Basically your returns, or losses, in financial spread betting are based on not just whether a particular share price goes up or down, but on how much it goes down.
As an example, you could bet on a share price going up in value, and your prediction might be for $10 a point. If the share price did rise, you would get a return of $10 for every point it rose by. However, if the price fell, you would lose $10 for every point it fell by. Financial spread betting can be very profitable, but it is not for the faint hearted!
Online Financial Betting Tips
The prices for various financial bets can vary from one financial site to the next so if you are getting involved it is a good idea to have accounts at more than one establishment so you can compare the odds and place your picks accordingly.