Position trading
Position trading is a longer-term style in which positions may remain open for weeks, months or longer. It focuses on broad market trends or fundamental developments, while leveraged forex and CFD positions can accumulate financing costs and experience substantial fluctuations.
In a hypothetical scenario, a trader holds a position for several months while tracking economic developments; interim losses and financing charges still affect account equity.
Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure