In the past, traders would be required to work full-time on the trading floor of a stock exchange or broker’s office. However, with advanced technology and online trading platforms, it is easier than ever to work from home and trade the financial markets. For many, it is considered a part-time or short-term hobby; for others, it is a full-time occupation from the comfort of their own study.
Trading from home can be an efficient way to generate more income using your flexible timetable. Online brokers provide the option to trade all financial markets, whether this be forex, shares or treasuries, without requiring the knowledge equivalent to that of a professional trader. The amount of money you gain or lose will depend on your skill set, however, and how many hours a day you commit to your trading strategies. This article provides information on how to work from home online trading, tips for an effective home trading setup and how to manage your risk when you start trading.
Our flexible online trading platforms allow you to spread bet and trade CFDs on a variety of markets and instruments across the globe. With a spread betting account, traders are exempt from paying capital gains tax and is only available in the UK and Ireland, whereas CFDs require traders to pay this tax but are available on an international level. Please note, however, that tax treatment depends on individual circumstances and can change or may differ in a jurisdiction other than the UK. Read more about the differences between spread betting and CFD trading to decide which product best suits your trading personality.
The forex market is one of the most popular among traders, due to its high liquidity, volatility and accessibility for information. The forex market is open 24 hours per day during the week, due to the different time zones between continents. This makes it easier for traders who only have a few spare hours per day or per week, as they are not restricted to daily stock market hours, for example.
So, can you make money trading forex at home? There is no shortage when it comes to forex trading strategies. Day trading, swing trading and scalping in forex are all popular strategies among in-house and home traders alike. The use of technical indicators also helps to identify trends, price charts and predictions for the future market. This information is easy to find online and is key if you want to make money from your trading at home plan.
At CMC Markets, we offer more than 330 currency pairs to trade, including major, minor and exotic forex pairs. Major forex pairs such as USD/JPY and GBP/USD have spreads starting from just 0.7 points. For more information and tips, read our article on the best currency pairs to get a head start forex trading from home.
Stocks or shares are also very popular instruments for trading, due to their international availability. It is possible to trade on both established, blue-chip companies within the stock market and penny stocks. You do not need a large amount of money to invest in penny stocks, as these often sell for around $1 and can vastly increase in value over a number of years. Therefore, they are popular assets to trade for a living as any stock has the potential to grow, develop and start producing profits.
Our award-winning online trading platform, Next Generation, has over 9000 instruments that are available for spread betting or CFD trading. We also offer the option to trade CFDs on a range of markets including forex, indices and commodities with the universally acknowledged trading platform, MetaTrader 4. These platforms differ in relation to position sizes, platform tools, installation requirements, executions and stop loss orders, among many other factors.
Mobile trading applications are perfect for those who do not own a desktop computer, or are often on the move throughout the day. Our mobile trading apps work with both iOS and Android software systems and include all the regular features of our home trading software. Learn more about our iPhone and Android trading apps.
In short, opening a brokerage account to start trading from home couldn’t be easier, with a wide range of products, markets and technical indicators available. Therefore, your main focus when trading for a living should be improving your educational knowledge, building an appropriate trading strategy and learning from your mistakes. When combined, all of these elements can help you to succeed in making money from your own home.
Disclaimer: CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.