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What is the Max Loss on a Long Option on CFD?


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If I go long a CFD on an option that is priced at 4.44 on a strike price of 2250 of the underlying (screenshot attached), could anyone confirm my logic is correct please:

- the option price is 4.44

- if I bet 0.5 per point, this means the max I can lose = 4.44 * 0.5 * 100 [multiplier] = 222

I'm confusing myself because I'm taking a position on CFD rather than the actual option, I just want to be 100% sure my understanding of the nature of CFD is correct.

Thanks very much for your help!

Screenshot 2020-08-21 at 14.37.24.png

Screenshot 2020-08-21 at 14.37.24.png

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On 21/08/2020 at 14:49, jamiesays said:

If I go long a CFD on an option that is priced at 4.44 on a strike price of 2250 of the underlying (screenshot attached), could anyone confirm my logic is correct please:

- the option price is 4.44

- if I bet 0.5 per point, this means the max I can lose = 4.44 * 0.5 * 100 [multiplier] = 222

I'm confusing myself because I'm taking a position on CFD rather than the actual option, I just want to be 100% sure my understanding of the nature of CFD is correct.

Thanks very much for your help!

Screenshot 2020-08-21 at 14.37.24.png

Screenshot 2020-08-21 at 14.37.24.png

Thanks for your post @jamiesays

When you're buying a call or a put on a CFD account the maximum loss is the buy price x  contract size x bet size. With CFD accounts you have the check the contract size.  You can find the contract size in the get info section. Below is an example for the FTSE100. 

image.png

All the best 

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