The Murmuration of Markets: Don’t be a Starling.

What happens when markets move from utility trading to speculation mode? The rules change:

Do you know what those rules are? If you are playing CFDs for speculation, then you probably need to understand the big picture.

Utility trading is the normal state of buy and sell based on stable markets used to meet predictable and ongoing supply and demand needs usually based on a need to have the underlying product of the market. The kickover to speculation mode occurs when the market becomes about the movement of money and prices.


Enter the CFD trading platforms…….. don’t worry about the asset, ride the differential to win.

Professional lives, careers and fortunes are placed on the line every day on predicting the movements of speculative markets. Algorithms, mutant and otherwise, attempt to predict which way the mob will dart, will it grow, wain, crash? Traders hunched over candlestick charts like astrologers looking for Island Reversal patterns or Three Black Crows, or day traders watching the news, and slow feeds pushed down the WWW.

In a fast-moving speculative bubble as a method of predicting the broader future, you would probably be as well adopting the Roman practise of examining chicken entrails.

The winners are the IT departments shaving nanoseconds off latency times in their automated computer trading systems to scalp a micro margin before the rest of the market knows it has changed direction.


So should you be playing on Trading 212, Pepperstone, City Index or a host of others without knowing the game?
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