What is a day trade?
Day, or ‘spot’, trading is when you open and close a trade within the same trading day, usually by 10pm GMT. Its one of the most popular ways to trade online as it allows you to benefit from any direction the market is moving, up or down, through buying or selling.
Price movements in forex or CFD trading are very small. To achieve investment goals, day traders have the ability to use leverage, or margin trading.
They also have at their disposal a number of trading strategies like scalping where they aim to profit from holding a position for a very short amount of time.
Learn how to open, modify and close a day trade on the easyMarkets platform here.
What can I trade as a day trade?
You can trade all markets on the easyMarkets platform as Day Trades. All 98 currency pairs, 5 metals, 12 commodities, 15 indices and 3 Cryptocurrencies. Even though commodities are typically considered ‘futures’ markets, easyMarkets enables easier access to these products to be traded under spot conditions. One factor to be aware of is expiry dates and daily trading breaks for some markets. See them all on our trading hours’ page.
With easyMarkets you may roll your day trade into the next day (until expiry) but it does incur a daily rolling renewal fee.
dealCancellation is a tool that gives traders a 60 minute margin to undo a losing trade for a small fee. Day traders can benefit from this tool when trading before significant events, opening of markets or anytime financial markets could be volatile. This tool, completely unique to easyMarkets, can also remove the fear of opening a larger trade than you would normally be comfortable with, since if the worse happens - you can undo it - and recover your investment.
Benefits and risks
Day traders often use leverage that increases their exposure to the market, essentially working as a trade multiplier. This can work both on the upside and downside though. To see the leverage available to you can visit easyMarkets Spreads.