How to Trade
How Tradesports Works
- The New England Patriots to win the Super Bowl
- Giants at Redskins - the Giants to win by more than 3.5 points
- Red Sox at Yankees - over 9.5 runs to be scored
- Serena Williams to win Wimbledon
- Cavaliers at Lakers - LeBron James to score more than 25.5 points
- If the outcome is YES then the market will settle at $100
- If the outcome is NO the market will settle at $0
Buy or Sell?
- If you think the outcome of the market will be YES (and therefore settles at $100) you will BUY shares
- If you think the outcome of the market will be NO (and settles at $0) you will short SELL shares
- Trader A thinks the Red Sox will win so buys shares at a price of $55
- Trader B is on the other side of that trade - he thinks the Red Sox will lose and sells shares for at $55
- Trader A has a profit of $45 per share
- Trader B suffers a loss of $45 per share
- Trader A suffers a loss of $55 per share
- Trader B has a profit of $55 per share
- Trader C buys shares for the Red Sox to win at $55
- The Red Sox go out to a three run lead and the market swings up to $67
- Trader C sells her shares at $67 for a profit of $12 per share
- Trader D sell shares for the Red Sox to win at $55
- The Red Sox fall behind by 4 runs at the market falls to $22
- Trader D buys back his shares at $22 for a profit of $33
USING THE TRADESPORTS INTERFACE TO TRADE
Selecting an event to trade
Use the event carousel at the top of the page to select an event. We only have three events listed for demonstration purposes - switch between them by clicking on this carousel:
Here you see the propositions listed for the event - along with the following information:
- The best (highest) sell price currently available - and the number of shares you can sell at this price
- The best (lowest) buy price currently avilable - and the number of shares available at this price
- The last price each proposition traded at
- The total number of shares traded for each proposition
Click on a proposition to select it for trading - it will turn blue to indicate that it's selected.
The order book shows you all of the unmatched orders to buy and sell shares:
- All buy orders waiting to be matched by a seller are listed in ascending order - with the lowest (best) price at the top - along with the shares available at each price
- All unmatched sell orders are listed in descending order - with the highest (best) price at the top - plus the number of shares wanted at each sell price
This is where you enter your orders to buy and sell shares. Enter the number of shares you want to trade, the price at which you want to trade - then hit the BUY or SELL button.
Your order will then be sent to the market. If it can be matched (in full or partially) with an existing unmatched order a trade will happen. If it cannot be matched your order will sit open in the market (and listed on the order book) until it gets matched at a later time.
MONITORING YOUR TRADING ACTIVITY
The My Trading panel is where you monitor all of your trading activity for the selected market. It has a number of tabs:
Shows all of your matched trades - how many shares you bought or sold. Shares you've bought are shown as a green positive number and shares you've short sold are shown as a red negative number. The average price of your shares and any profit and loss from trding those shares is also shown.
This tab lists all of the unmatched orders to buy or sell shares you currently have live in the market. You also have the option to cancel these orders (by hovering over the open order and clicking the X icon).
This tab shows how much is frozen to cover the maximum potential loss for all matched and unmatched trades.
This tab shows a list of all trades made in this market.
This is where you monitor your funds. It tells you how much you have, how much is frozen to cover your trades and how much you have available to fund new trades.