Playing the contracts for difference market is never easy. A new book highlights some useful lessons and pitfalls, says Jessica Mead.
ALL traders, however experienced, are encouraged to keep a diary. Contracts for difference (CFDs) traders are no exception. Recording your decisions, strategies and moods when you open and close positions helps you investigate the rationale behind each trade and to identify strengths and weaknesses in your strategy. But would you want to publish your trading diary? Australian Catherine Davey did just that. In The Diary of a CFD Trader, recently reprinted in the UK, she charts 13 weeks in the early stages of her trading career in 2005 and gives an insight into the ups and downs of her progress, something which could offer invaluable insights for other CFD traders.
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