Spread Betting Trading Systems - How To Find A Profitable One
There are many cynics that would say you should not use a system to assist you in spread betting. But are they right? Can an effective trading system really pump out excellent profits?
There are more and more trading systems available on the market making all sorts of claims and promises. The people who are selling these systems will often tell you how they have made thousands of pounds, and they will not be afraid to advertise the fact. But how good are these trading systems and what are their Pros and Cons?
With Trading It Always Pays To Be Open Minded
The first hurdle for most would be to get over their cynicism of such trading systems. Of course though there are systems and then there are good systems. As they say “The proof of the pudding is in the eating” and the best way, in fact the only way to become comfortable with any system is to test it out, which brings us to the first point, cost.
The All Important Cost
How much should you pay for one of these systems?
You could pay as much as £5,000 which may seem rather steep when you have no proof as to how much money you might make (or lose). If you paid money up front you might waste a lot of money if/when things go all pear shaped.
Trading experts reckon you need to use a system for a month to get any idea of its performance, so you must make sure that you can return the system within a given period and get a refund.
Better still, look at purchasing a system that comes with a monthly licence, that way you are in control. If you like the system you will continue to buy the licence if you don’t you won’t.
Analysis - Why It's Important To Start Slow
Once you have made your purchase you need to give the system a thorough testing. Getting a new system is a bit like getting a new toy. You’re excited and you want to get going. But CRITICAL ADVICE - Do not go blazing in to make your first trade(s).
- First, read through any procedures on ‘How to Get Started’. All systems will be different and although you may think you know all there is to know about spread betting, you have yet to learn how the system will best serve you
- You should not make any (live) trades until you have fully tested the system, or if you do then make them very small (say 10p or 20p a point) – this way if things go wrong you’ll only waste less than £100
- Time spent doing your own testing will pay long term dividends
- The integrity of the system is of paramount importance. Make sure that you can ‘Trust’ the information the system supplies you with by checking it thoroughly during your testing period
The Integrity Of The System And The Vendor
Not only should you be able to trust the system but must also be able to trust the vendor.
Most vendors will include some information on how well their system has been performing over weeks, months or even years. You should be able to verify any and all vendors’ assertion/claims. Check their figures and if you are unable to confirm their claims, or, if you do not understand something, contact the vendor and ask them for clarification.
Never purchase a system from someone that cannot or will not clarify their claims. If their claims are accurate they should be visible and verifiable – but even then refer back to the point above and check the system out yourself.
Simple Systems Are Normally The Best
The results you get from the system should be clear and concise, leaving nothing to chance. Many vendors will put all sorts of ‘extras’ on their system to make them look sexy. A system needs to be uncluttered, easy to use, easy to understand and above all, produce accurate results.
The Right Tool For The Job
In the same way that you carry out your DIY, - use the wrong tools and the results could be a disaster, use the right tools and the results will be excellent.
Maybe you are already using a system, but is it the right system for your current needs? Like most DIY’ers, you probably have a number of old tools in your tool box and you are reluctant to change them because they have served you well over the years and they still work.
Your current trading system may still work, it may have served its purpose when you purchased it but markets change. Now may be the right time for you to move on and look at what other systems on the market have to offer to improve your profits. After all, you are Spread Betting to make profits and you need a good system to maximise your returns.
Whether you have a system or not, whether you are cynical about using a system or not, why not consider changing. After all, what do you have to lose, apart from maybe your profits!
What To Do Next
A system that addresses all of the above issues is available now. The system is called You-Trade and the vendor's are offering a reduced price trial period.
This will minimise your outlay as well as allowing you plenty of time to see if the system/strategy is appropriate for you. If after using the system for the trial period you found that it was suitable for your needs the monthly fee could turn out to be just a small percentage of the new increased profits you could be enjoying.
For more details and to sign up for the You-Trade Intelligent Spread Betting Trading System please go to www.jcmssystems.co.uk
See Also
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