The Financial Spread Betting Handbook

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	Sparkdales Limited www.sparkdales.co.uk
	Spread Betting Central www.spreadbettingcentral.co.uk

Jacket text for The Financial Spread Betting Handbook

Reach the heights of spread betting success!

Financial spread betting is growing in popularity. But who wins and who loses at this game? What do the winners do that differs from the losers? That is what this book is about.

Malcolm Pryor uses the model of climbing a mountain to explain a disciplined, winning approach to spread betting. First a base camp must be established: which includes getting set up with the right corporate data, charting and accounts software, deciding what to bet on and what your time frame should be, learning the nuances of operating an account, controlling risk, and learning from other people's mistakes. Many spread betters don't even get this far.

Next, we start climbing the mountain: this means having strategies that are right for us. The whole of this section is devoted to illustrating strategies which can be used for spread betting, for example trend following, counter trend strategies and delta neutral strategies such as pairs trading.

Finally, we make our assault on the summit of the mountain: which is where the winners set themselves apart from the losers. Issues covered here include trade planning, record keeping, performance reviews, more on risk management, psychology and continual development.

Spread betting is great fun, and almost anyone can enjoy the odd bet now and again. But if you want to make money from spread betting, then it must be taken seriously and a disciplined and tactical approach is required. This book is the essential guide to get to the top of the mountain.

Chapter headings for The Financial Spread Betting Handbook

Preface
Acknowledgements
Risk Warning
Introduction

PART 1 - BASE CAMP
Choosing A Spread Betting Firm
Origins and growth of the market
Selection criteria
The 6-Stage Plan for opening an account
Directory of spread betting firms

Getting Set Up - Computer Hardware and Software
Hardware
Internet connection
General software
Backing up
Postscript

Trading Resources
Trading software
Price data
Information
Web sites
Postscript

What Do Winning Spread Bettors Bet On?
Markets
The 3 key tests
Differences between the spread betting firms
Summary
Postscript

Choosing a Spread Betting Type
Types of betting
1. Extremely short timescale
2. Short timescale
3. Medium timescale
4. Long timescale
5. Very long timescale
Differences between the spread betting firms
Postscript

Timescales for Spread Bets
Postscript

Pricing and Hedging
Do they really want you to win?
How spread betting firms work out their prices
How competitive is the market?
Do they hedge?
Future developments a wish list
Postscript

10 Common and Really Expensive Spread Betting Errors
1. No edge
2. No planning
3. Wrong bet size
4. No risk management
5. Mistiming exits
6. Out of control
7. Not in tune with the markets
8. Running before walking
9. Emotionally unstable
10. Not taking responsibility
Postscript

Keeping Losses Small - The Stop Loss
Stop or no stop?
Near or far?
Automated or mental?
Instant or delayed?
Techniques for placing stops
One more useful approach - the time stop
Two tips
Moving stops
Postscript

Spread Betting Order Types
Are some orders better than others?
What's on offer in the market?
Postscript

Practical Issues
Order placement
Automated stop orders
Dispute resolution
Funds transfers
Keep abreast of your margining position
Postscript
Congratulations!


PART 2 - CLIMBING THE MOUNTAIN

Finding A Strategy That Works For You
What do you like?
Technical analysis is excellent for spread betting
The basic choice: trend or countertrend strategies?
Or delta neutral strategies
Master one strategy first
Postscript

Spread Betting Strategy I - Betting On A Trend - Trend Identification
Basic concept - using spread betting to ride a trend
Breakouts or pullbacks?
How to identify trends
Postscript

Spread Betting Strategy I - Betting On A Trend - Selecting A Bet
Simplifying trade selection - the weekly shortlist
Simplifying trade selection - identifying daily set ups
Taking the trade - entry triggers
Postscript

Spread Betting Strategy I - Betting On A Trend - Bet Size
Taking the trade - the right size of spread bet
Postscript

When To Exit A Bet
1. The bet goes against us
2. The bet goes nowhere
3. The reason for the bet disappears
4. The bet goes our way
Postscript

The Re-entry
Postscript

Spread Betting Strategy II - Betting On Reversals
1. Buying support and selling resistance
2. Betting on candle patterns
3. Betting on gaps
4. Betting on divergence
Postscript

Spread Betting Strategy III - In and Out Within a Day
You need the time to do this
Finding intraday bets
Betting on opening gaps
Betting as company results come out
Betting on false break outs
Betting on blow offs
Binary betting
Postscript

Advanced Strategies
Arbitrage
Pairs trading
Hedging
Postscript


PART 3 - THE ROUTE TO THE SUMMIT

The Right Strategy For You
Character
Account size
Beliefs
Attitude to risk
Postscript

Staying In Control - Planning
The successful spread bettor's plans
A week in the life of a successful spread bettor
Postscript

Staying In Control - Record Keeping
Postscript

Staying In Control - Regular Reviews
Monthly review
Quarterly review
Postscript

Staying In Control - Risk Management
Staying in tune with the markets
Monitoring positions
Monitoring and controlling stops
Margin control
Managing total exposure and leverage
Net long/short
Diversification
Standing aside
Counterparty risk
Exceptional events
Contingency planning
Postscript

Developing a Winning Attitude
Profile of the successful spread bettor
10 Rules for Profitable Spread Betting
Postscript

Continual Development
Books
Courses
Magazines
Web sites
The final postscript…

Appendix
Examples of Basic Bets
Spread Betting Glossary
ADX
Support and Resistance
Betting via Exchanges
How it works
Benefits and risks of this type of betting

Directory Of Spread Betting Firms

About Malcolm Pryor

Malcolm Pryor is a member of the Society of Technical Analysts in the UK and has been designated a Certified Financial Technician by the International Federation of Technical Analysts.

He is a director of a consultancy practice, and is an expert at several games, including bridge where he has held the rank of Grandmaster for over a decade.

More about Malcolm Pryor

Reviews for The Financial Spread Betting Handbook

"The clue to the book's usefulness is contained in the title: Handbook...This is because the mountain climbing analogy is apt: climbing a mountain means you don't go from base camp to the summit in one step (you'll probably forget to pack the thermal underwear and oxygen mask). You have to start at the bottom and work your way up. So too with this book. This is not just a book about spread betting, it's also a strategy of how to apply spread betting to your investments... [It's] something you'll frequently dip into to clarify a point or refresh your memory. Even if you're not an investor but someone who, say, has...a knack for predicting the outcome of sporting events - but are wary of fixed odds betting, then spread betting is a Godsend and you'll find this book extremely useful."
- Martin Fagan, UK-Analyst.com