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PLEASE ANSWER IF YOU ARE USING PLUS500 as platform so that it is easier to check at platform level. Please ask for more details in case you need before downvoting

I am scratching my head around the spreads that are charged by Plus 500 and still on nothing after 12 hours, so need your help please.

Plus 500 only earns in spreads.https://www.plus500.com/FAQ/FinancialInstruments/WhatIsSpread

Now I have made this trade SELL on SPY -

SPY Sell    100 Shares  -41,39 € (Gross P/L)    264.99 (Open)   265.49(CLose)

Now, the spread is fixed at 0.06. I thought if spread is fixed my charges should be fixed like 100*0.06 = 6 Euro

For the above, actual loss -

(264.99-265.49)*100 = -50 Euro

My loss showed as -41.39 Euro which I am not sure how it calculated

  • What, you do not understand what you are doing but decide to trade anyway. Is this a practice account or with real money? – Victor Jun 3 '18 at 22:52
  • Its a practice account – Ray Jun 7 '18 at 11:43
3

Ok, there are a few things to say here.

  1. If you don't understand a charge on your account, then you should be asking the company, not a bunch of people on the internet.

  2. You need to review your understanding of how spreadbetting companies make money. The spread is not the only way.

  3. Have you taken into account forex ? SPY will probably be USD denominated, your account is in EUR not USD. (264.99-265.49)*100 = -50 USD, at today's exchange rate 50USD=42.8726EUR, which is very near to 41.39 (you did not give the date/time of your transaction so it was not possible to look up the correct exchange rate).

  4. You are confusing charges with your losses. You made a loss on the trade (you executed a SELL, the price went UP = you LOST !).

Please. Before you loose more money. Do some more reading on spreadbetting. Spend more time with a demo account before risking real money.

  • This is a practice account. I considered your points above (3 may be worth looking into again). Can you check the last line? As per their support, it should be 6 euro as i have mentioned. I understand the concept of SELL and BUY so there is no confusion there. Let us remove the basics. I am more looking for people who may be using the platform. As mentioned actual loss should have been -50 euro (as shown with calculations) but it is only -41.39, and hence the question, if someone uses the platform? – Ray Jun 7 '18 at 11:47

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