Short Term Trading Weekend Lounge: 21-23 Dec, page-82

Hi pmd,

CFDs are great for getting significantly leverage. The single worst aspect that I found was that as you will put a stop loss limit in place, sudden extreme volatility seems to happen that is far beyond what the cash index is experiencing at that exact same time. The result is often a move in the CFD for a few seconds well beyond your stop loss, pushing you out of the trade with a loss. Just please be warned, there are unexpected risks. I know some don't use a stop loss, but it is possible to make a large loss on a single trade, even wiping out your entire account. Anyway have a happy Christmas.