Rolling CFDs 101Your Complete Interactive Guide

Master the fundamentals of Rolling Contract for Differences with hands-on simulations, real-time calculations, and interactive learning modules.

📚 15 min read🎯 Interactive📊 With Calculator🏆 Quiz Included

What are Rolling CFDs?

Contract for Difference (CFD)

A CFD is a financial derivative that allows you to trade on price movements of assets without owning the underlying asset. You profit or lose based on the difference between opening and closing prices.

How CFDs Work

Entry: $100Exit: $120Profit: $20

How Rolling CFDs Work

🔄 Rolling Mechanism

Unlike traditional CFDs with expiration dates, Rolling CFDs automatically renew (roll over) at the end of each trading period, allowing for indefinite holding periods.

  • • Automatic renewal process
  • • No expiration concerns
  • • Continuous market exposure

💰 Profit & Loss

Your P&L is determined by the price movement of the underlying asset multiplied by your position size and leverage ratio.

P&L = (Exit Price - Entry Price) × Position Size

Understanding Leverage

Interactive Leverage Calculator

Position Details

Your Capital:$1 000
Position Size:$10 000
Margin Required:10.0%
5% Price Move Profit:+$500
5% Price Move Loss:-$500

Risk Warning

Higher leverage amplifies both profits and losses. A 10:1 leverage means a 10.0% adverse price movement could result in significant losses.

Trading Costs & Fees

Spreads

The difference between bid and ask prices. This is your primary trading cost.

Typically 0.1-2 pips

Overnight Fees

Swap charges for positions held overnight. Based on interest rate differentials.

±0.01-0.05% daily

Commission

Fixed fee per trade or percentage of trade value, depending on instrument.

$5-15 or 0.1%

Risk Management Calculator

Position Risk Analysis

Risk Calculation Results

Maximum Risk Amount:$200
Recommended Position Size:0.08 lots
Potential Loss:$200

• Risk-to-reward ratio: 1:2 minimum recommended

• Never risk more than 2-5% per trade

• Use stop losses on every position

Test Your Knowledge

Complete this 5-question quiz to test your understanding of Rolling CFDs. Score 80% or higher to earn your completion badge!

Ready to Start Trading Rolling CFDs?

Apply your knowledge with our regulated and secure trading platform. Start with a demo account to practice risk-free.

Regulated by FCA • MiCA Licensed • Client Funds Protected

Risk Warning

Rolling 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. Past performance is not indicative of future results.