CFD Trading Long - CFD Trading Short - CFDs Charts

In cfd trading, there are two types of cfd trades, these two are:

• Long (buy) - Going long means the cfd trend is buy/bullish.
• Short (sell) - Going short means the cfd trend is sell/bearish.

Buying/Long vs Selling/short in CFD Trading

Both terms in CFD trading, refer to things traders do when opening a trade transaction.

Buying Long - cfd term used by traders when buying cfds(when opening a buy cfd trade).

Selling short - cfd term used by traders when selling cfds(when opening a sell cfd trade).

Long - Long is another term used to refer to buying in cfd, If a trader goes long it means that he buys the cfd that is heading in an upward trend direction. When the price is moving in an upward trend the trend is referred to as bullish cfd trend.

Short - Short is a term used to refer to the selling of cfd that is going in a downward trend direction. When the price is going downwards then it is referred to as a bearish cfd trend.

Basically the term, "selling short" can be refer to selling in the cfd markets. Selling short is used to transact a cfd that is predicted to depreciate in its value compared to another, when this cfd is sold then it is the same as not holding value in this cfds and holding the same value in another form against which this cfd is traded against - mostly US Dollars.

Buy/Long

If the price is going up we buy, this is referred to as going long - Therefore long is just another term for buy. When the cfd market cfd trend is going up it is referred to as bullish, this is when a buy cfd trade is placed. A bullish cfd trend is identified by drawing an up-ward trendline on a cfd chart. The example shown below shows a long/buy trading signal.

Buy/Long

Sell/Short

If the price is heading down we sell, this is referred to as going short. When the cfd market cfd trend is going down it is referred to as a bearish. The example shown below shows a downward trend, this is when a short sell is placed. The short/sell is identified by drawing a downwards trendline on a cfd chart. The example shown below shows a short/sell trading signal.

Sell/Short - CFD Buy Trade and CFD Sell Trade

CFDs Charts

A chart provides a visual representation of cfd prices (drawn on the y-axis) against time (drawn on the x-axis) for cfd price interval. The movement of cfd prices is plotted on these cfd charts. The cfd chart can be drawn as candlestick cfd charts like the one shown below or as line cfd charts or bar cfd charts.

CFDs Chart - Candlesticks CFDs Charts

The three common types of cfd charts used in cfd trading are:

• Candlesticks CFDs Charts
• Line Charts
• Bar Charts

These 3 types are covered in the topic CFDs Chart Types.

CFDs Platform

This is the cfd software that's provided by a broker to help cfd traders place their trade transactions. Once you download and installs this cfd software on your computer you can then begin to trade in the market. All cfd trades are executed through this platform. If you want to learn a cfd platform, MetaTrader 4 Platform is a good platform to begin with.

To set these trade orders, open MetaTrader 4 Platform, open a "chart", rightclick on the "chart', select "New Order" and then select the cfd order either sell or buy as shown below. (Short Cut Keyboard Keys - Press F9)

Setting Buy Long Order and Sell Short Order in MetaTrader 4 Platform