Can I trade CFDs when the markets are closed?

[Mike987]

Can I trade CFDs when the markets are closed?

[forexdaver]

The Answer to that is a resounding no.

[New2CFDs]

As you can see by my name, I am quite new to this, but i definitely read that many CFD brokerages have begun to allow after-market trading, to suit their private investor clients who prefer to do their trading after work.

[Somya Gabriel]

No. The CFD trails a certain index, stock or commodity without purchasing them and the profit is made by the previously mentioned differences.

[Reealjrd]

You can use the automated orders while the trading and you can trade when you want without keeping a close eye on the market but only when the market is open, not when closed.

[CFDPlayer]

all above answers are not fully correct. The key thing is depends on your CFD brokers. Some City-based CFD providers does while some not due to business model and risk management concern.

[JohnsonG]

As you can see by my name, I am quite new to this, but i definitely read that many CFD brokerages have begun to allow after-market trading, to suit their private investor clients who prefer to do their trading after work.

Hey welcome to our wonderful community pal, I was just wondering, what are you going to do when you become a experienced at this, will you create a new name? and start over form the beginning? sorry for the weird question, I'm just curious

[SJCFDs]

all above answers are not fully correct. The key thing is depends on your CFD brokers. Some City-based CFD providers does while some not due to business model and risk management concern.

Yep - this answer is the correct one!!!

There are several firms who provide after hours "grey market" CFDs.

I personally have never seen anyone who provides "grey markets" in individual equities - but indicies/oil/metals definately.

For example - certain firms have models which they are able to use to price certain indices using the prices of other indices.

The prime example would be a 24 hour a day FTSE price (Sunday night through to Friday night) - this can be generated using a combination of prices from the 3 major US indices (Dow,S&P,Nasdaq) which are open for 23 hours and 45 minutes every day (except weekends).

Gold futures prices can be generated using the Spot Gold price, and (less common) WTI Oil can be priced using Brent and vice versa.

So yes - certain CFDs CAN be traded when the underlying market is closed - however be AWARE that stops and limits work slightly differently. There is NO SUCH THING as a MARKET ORDER if the market is shut.

Some firms allow you to specify "Market Oder Stops/Limits" - so that you will NOT be stopped out on a "grey market" price and will only be closed if you level is hit DURING MARKET HOURS.

Just do some research before you start trading "grey market" CFDs!!!!

[forexhitman]

are CFDs better then forex?

[CFD Broker]

If you are trading Currency by CFD, you can do it 24 hours a day( based on terms and conditions)