Chinese Renminbi Spread Betting Guide





Also see Live USDCHN chart below.



Where Can I Spread Bet on USDCHN?

You can put trades on USDCNH, as well as numerous other financial markets, by using an account with any of these spread trading companies:

Also note that the trading hours on this market have a natural shift towards Asian hours. E.g. CMC offer this market from 2am to 5pm UK time.

Note that you can also trade CNH/JPY with Tradefair.

Readers should be aware that this market might be offered by other providers not listed here.


Live USDCHN Chart




Live USDCHN Chart




Where Can I Get Live Spread Betting Prices and Charts for USDCHN?

The chart shown above offers you a handy view of the current market trends.

However, if you’re trading USDCNH, the providers listed above have live price updates and charts with more options.

Typical forex chart:

Chinese Renminbi Spread Betting Guide - Example Chart



USDCHN Spread Betting Example

Chinese Renminbi Spread Betting Guide
If you are interested in spread betting on USDCNH then, looking at a company like CMC Markets, you would currently see a price of ¥6.15091 – ¥6.15191.

That means you can speculate on USDCNH to move above ¥6.15191 or move below ¥6.15091.

When placing a spread bet, investors speculate on every unit the market increases or decreases; in the case of the USDCNH market a unit is ¥0.00010 of the FX rate’s price movement.

Let’s say, for this instance, you want to trade £2 for every ¥0.00010 USDCNH increases or decreases.


Buying – Spread Betting on the Market to Go Up

If you were to go long of USDCNH at ¥6.15191 and the FX rate rose then the quote might be re-priced at ¥6.16114 – ¥6.16214. In that case, you might choose to close your position for a profit at ¥6.16114.

P&L = (final price of the market – initial price of the market) x stake per ¥0.00010
P&L = (¥6.16114 – ¥6.15191) x £2 per ¥0.00010 stake
P&L = ¥0.00923 x £2 per ¥0.00010
P&L = £184.60 profit

However, if the FX rate had fallen to, as an example, ¥6.14360 – ¥6.14460, you might want to close your bet to limit your losses. Therefore, you’d make a sell trade at ¥6.14360.

So, with the same £2 per ¥0.00010 stake:

P&L = (final price of the market – initial price of the market) x stake per ¥0.00010
P&L = (¥6.14360 – ¥6.15191) x £2 per ¥0.00010 stake
P&L = -¥0.00831 x £2 per ¥0.00010
P&L = -£166.20 loss


Selling – Spread Betting on the Market to Go Down

One of the many advantages of using a spread bet is that investors can go short of the markets, i.e. bet on the markets to decrease.

This market was originally priced at ¥6.15091 – ¥6.15191.

If you shorted USDCNH at ¥6.15091 and the FX rate went down then you might see the quote drop to ¥6.14207 – ¥6.14307. If so, you might decide to close your position by buying at ¥6.14307.

P&L = (initial price of the market – final price of the market) x stake per ¥0.00010
P&L = (¥6.15091 – ¥6.14307) x £2 per ¥0.00010 stake
P&L = ¥0.00784 x £2 per ¥0.00010
P&L = £156.80 profit

Of course, if the FX rate were to rise to ¥6.15697 – ¥6.15797, you may decide to close your bet to restrict your losses. If that happened, you would buy the market at ¥6.15797.

With the same £2 per ¥0.00010 stake:

P&L = (initial price of the market – final price of the market) x stake per ¥0.00010
P&L = (¥6.15091 – ¥6.15797) x £2 per ¥0.00010 stake
P&L = -¥0.00706 x £2 per ¥0.00010
P&L = -£141.20 loss


USDCNH prices quoted as of 14-Aug-14.

This is a ‘Cash’ market. This style of market doesn’t have a predetermined expiry date and will just rollover to the next session. When a market rolls over you might receive a small credit or incur a small financing cost. For more details, please see rolling daily / cash spread bets.



USDCNH Test Accounts

The companies listed below have free test accounts. You can use these accounts to have a go at trading USDCNH without risking any funds.




User Questions and Answers on USDCHN

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