Imo CFDs can be used for many types of trading across several different time frames. However, with the effect of the leverage it is obviously very important to protect capital and trade with rules. Perhaps you have seen the Trade the Trade rules discussed on the CFD forum a couple months ago.
I have day traded using very short time frames, one minute maximum, in the past. At the moment I don’t have the time to pursue this type of trading, but one day I would like to develop my day trading skills, but only for use in short bursts. I have never considered trading CFDs on 10 minute or one hour blocks.
At the moment I am essentially a morning only trader. That is, I open and close trades in the first 15 minutes or so each day, then use stops to minimise losses and take profits throughout the rest of the day. Most often I will only set one stop loss and either one or two profit taker stops.
The above approach is essentially the same as trading shares, but perhaps with a more rigorous approach to minimising losses, protecting profit, and letting your profit run when possible.
Imo trading has been quite difficult over the last two months or so, but during this time I have managed to stay in the black, but without the stellar profits that I endeavour to achieve. Hopefully the market will start trending in a more orderly fashion again soon, as discussed on the other thread, which will result in trading being quite a bit easier than it is at the moment.
