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WebIRESS is one of the most commonly used CFD and Share trading platforms in Australia, being adopted by some of the country's largest online brokers and leading CFD providers. In recent times webIRESS has undergone a makeover, with the latest version webIRESS Plus recently being launched.

WebIRESS Plus offers day traders and scalpers a number of significant advantages over it's predecessor, with the most noticeable being the speed of order execution, additional advanced order types and visual improvements. The significant improvements of webIRESS Plus make it the ideal CFD trading platform for day traders and scalpers looking to take advantage of rapid CFD price movements in the opening and closing phases of the market and during market volatility.

WebIRESS Plus is fast becoming the most popular CFD trading platform in the market due to the significant edge traders are able to gain as a result of the platforms dramatic speed improvement. In addition to the speed improvements in webIRESS Plus, there are now also a number of new order varieties including if-done orders, meaning CFD traders now have more control over their trades with the ability to set and forget orders.

Despite the significant advantages webIRESS Plus offers day traders and scalpers it is important to note that the speed advantages of webIRESS Plus are dependent on the internet connection being used. As an active trader it is always advisable to ensure that you have the fastest and most reliable internet connection possible, this may mean having an ADSL2 or cable broadband connection. Most active traders will always have two internet connections to ensure redundancy should one connection fail.

Active day traders often use the webIRESS Plus platform alongside an advanced charting package or market scanning tool. One of the more common and readily available charting packages is MetaStock another lesser known package is Spark. Spark is popular with more active day traders who monitor many CFDs at the same time and require detailed real-time information relating to price and volume changes which when combined with chart formations allow them to identify trading opportunities such as price and volume breakouts.

Of course a great trading platform, charting package and internet connection alone will not make anyone a successful trader. These are simply tools that will give you the edge over other traders in the market. The most important components of trading are information flow and discipline which when combined with a proper trading plan and tools will help you on your way to becoming a successful trader.

Currently webIRESS Plus is only available from IC Markets. You can download a webIRESS demo to see whether the platform suits your needs.

The webIRESS trading platform is one of the most common online share and CFD trading platforms in Australia. WebIRESS is used by most of the major online brokers including, Comsec, Etrade, and Bell Direct, however like all on-line trading platforms some traders might experience technical hiccups when first logging in. Some of the more common technical issues that you might encounter along with simple solutions are outlined below. 

By far the most common technical issue encountered by new webIRESS users is what is known as the “ticking clock error” this is simply and endlessly ticking clock that appears in your browser along with the words “installing software please wait”, however, unfortunately for most the wait is endless. The “ticking clock error” is a common problem with a simple solution, this error occurs because Sun Java 1.4 or better has not been installed. The problem can often be resolved through a quick Java update, or new installation from the Sun Java website. In certain circumstances a recent version of Java may already be installed yet this error still occurs, often this is due to a popup blocker or antivirus software preventing your computer from accessing “webdf.iress.com.au“ and Port 6080 or 80, this can be corrected by allowing your firewall or antivirus program to access “*.iress.com.au” and port 6080 or 80. As a precautionary measure you should always clear your browsers cookies and temporary internet files before making any changes to ensure that your old settings are deleted.

Most webIRESS problems are related to Java or the security settings on your computer, however on occasions problems may arise as a result of your internet connection or LAN firewall settings. Testing connectivity to the webIRESS server is easy and should be done if you are unable to resolve you connection problems through the installation of Java or firewall and antivirus permission changes. A simple telnet connectivity test can be run by following the instructions below:

1. Go to “Start” > Run or open a DOS command window.
2. In the Run dialog box or at the DOS prompt, type: telnet web.iress.com.au 6080
3. Press Enter.

A Telnet window opens with the message “Connecting to web.iress.com.au…”

If the connection is successful, the Telnet message will disappear leaving a flashing block or cursor in the top left corner of the Telnet window.

If a connection cannot be established you should contact your ISP or network administrator as it is likely that ports 6080 or 80 are being blocked by your firewall. 

These are some of the most common webIRESS problems, if after attempting the above solutions you are still unable to resolve your webIRESS connection problem you should contact your broker who will be able to conduct more advanced webIRESS troubleshooting.

You can download a free webIRESS Plus demo to see whether the new webIRESS Plus platform solves many of the technical issues that you may have experienced using webIRESS.

Day traders and scalpers are always looking to gain an edge in the market that will give them a real trading advantage, however most traders often go searching for faster PC's, internet connections or a better charting package, many often overlook the fundamental basics like the trading platform that they are using or the broker that they are dealing with.
 
The most important element in any DMA CFD traders arsenal is their trading platform as this is their connection to the market. May DMA CFD day traders and scalpers assume that their broker has the fastest market connectivity and trading engine behind their platform, however unfortunately in reality there are some brokers that do not have the correct infrastructure to enable sub-second order execution into global exchanges.

As a CFD day trader or scalper it is critical to ensure that your DMA CFD broker has the fastest market connectivity possible. In many cases DMA CFD providers outsource their execution services to their prime broker, although this allows the DMA CFD provider to achieve cost efficiencies it does not always help you as a day trader. In-fact outsourcing CFD execution to a global investment bank may mean that your trades are routed through one of the main regional hubs being London, New York or Hong Kong before they reach the market and appear as a filled order on your trading platform. Some global investment banks do however have localised infrastructure meaning that your orders are not sent around the world before they reach the exchange. When choosing a DMA CFD provider it is important that you ask them whether their orders are routed locally or through their prime brokers global infrastructure as this will have a significant effect on the speed of your order execution.

Aside from good market connectivity the other core element is the trading platform that you use. There are many trading platforms available to retail DMA CFD day traders and scalpers, however by far the most popular is the webIRESS platform. Many CFD providers are able to offer you the webIRESS platform however there are very few providers that are able to offer webIRESS plus. WebIRESS plus is faster than conventional webIRESS and offers split second order execution. 

As a DMA CFD day trader is important to choose a CFD provider that can give you split second order execution allowing you to acheive a CFD trading edge. Of course before you start trading you should evaluate the pro's and con's of each CFD provider and download a few trading platforms to ensure that the CFD provider you select does in fact give you an edge in the market.

To find out more about trading CFDs you should download this free CFD Guide.

The webIRESS trading platform has been available as a share trading platform since 2000, it was only in late 2003 that the platform was adapted to suit CFD trading. The early adopters of the platform led its development and consequently forged a new wave of trader, the DMA CFD trader.

Before webIRESS the only DMA CFD trading platform available was complicated and clunky, the webIRESS trading platform set the new benchmark for DMA CFD trading amongst retail investors in Australia. Recently the DMA CFD offering on the webIRESS trading platform has been extended beyond DMA CFDs on Australian shares to incorporate CFDs over shares listed in the US and on several European exchanges along with forex and indices.

The webIRESS trading platform is web-based meaning it can be accessed from any PC with on-line access and can be utilized from behind a firewall in an office or from an internet cafe. The superior mobility of the platform has made it extremely popular amongst casual and professional traders.

It is not only the mobility of the platform and range of products offered that makes webIRESS so popular but it's also the platforms speed, functionality and ease of use. The webIRESS trading platform is one of the fastest DMA CFD trading platforms available, orders are executed in less than one tenth of a second, much quicker than the majority of other platforms. The platforms speed combined with its vast array of order types including trailing stop-loss orders and contingent orders make it the ideal platform for active traders.

The webIRESS trading platform has a number of great features including a market map and ability the see the entire market depth and course of sales of share CFDs, most platforms limit market depth to five levels and course of sales to the last one hundred trades. The market map is particularly useful as it offers a visible illustration of the shares that are moving within a particular sector and the market capitalization of the share relative to the sector. Traders regularly use the market map as a tool to recognize undervalued shares within a sector.

Since the CFDs traded on the webIRESS platform are DMA all orders are transmitted directly to the exchange order book of the stock over which the CFD is based. Being able to participate in the market of the underlying financial instrument means you can be a price maker and trade in the opening and closing phases. These are normally the phases of the market where a large amount of volume occurs, meaning more trading opportunities.

Before you start using the webIRESS platform you should download a demo that will allow you test many of its great features before you start trading for real.

To learn more about DMA CFD trading on the webIRESS platform you should download a free webIRESS demo.

WebIRESS is one of the most popular trading platforms for DMA CFDs in Australia and is offered by most of the major on-line brokers. WebIRESS is popular in the share trading community as well as with DMA CFD traders. Traders using WebIRESS are able to trade both shares and DMA CFDs using the same WebIRESS login.

Most CFD and on-line share brokers in Australia are able to offer a WebIRESS demo for prospective traders to download any try prior to opening a real trading account. It is important to note that WebIRESS demo accounts do not allow you to place orders or view your portfolio, the reason for this is that WebIRESS must be connected to an IRESS Order System (IOS) in order to function and place orders, demo accounts are usually not connected to an IOS.

As WebIRESS is a web-based trading platform demo accounts are accessed on-line utilising your web browser, however it is important to note that WebIRESS requires Java to be installed on your PC in order to operate correctly. When first installing WebIRESS you will be prompted to install the most recent version of Java. It is critical that the most recent version be installed as your webIRESS may not function correctly on older versions of Java.

Upon first glance your WebIRESS demo will appear quite basic with the workspace layout being divided into four frames, however when switching to the multiple document interface (MDI) mode you will quickly realise the power of the WebIRESS desktop interface. In the MDI mode you are able to freely move windows across multiple monitors and easily create customisable workspace tabs.

When fist logging into your WebIRESS demo you will find that it will most likely have delayed market prices and only one level of depth, this is normal. After opening a real trading account you will be given the option to subscribe to live data at a cost of around $38.50 for ASX data, upon subscription you will have full access to live market data, course of sales and full market depth.

One of the great features of webIRESS is the market map. The market map is essentially a heat map of the market providing a visual representation of the market movement of stocks in each of the sectors in real-time. The size of the squares in the map represent the market capitalisation of each of the stocks and the shades of red or green provide an illustration of how much the stock has moved up or down. The market map is great for traders looking for a quick snapshot of the movement of stocks in relation to their sector and the overall market.

After you have spent some time navigating the menu items, creating watch lists and customising a layout it is advisable to explore the charting functionality of your WebIRESS demo and become familiar with the chart indicators and layouts and how you can adapt them to suit your trading strategies.

Once you decide whether WebIRESS is the right trading platform it is important to factor its cost into your trading budget, most brokers and CFD providers offer the WebIRESS platform at a cost of somewhere between $55 to $88. When combined with ASX data fees your total monthly cost will come to around $95 to $125. If you are a frequent trader you will likely find that your broker or CFD provider will cover the WebIRESS cost on your behalf, however if you are not a frequent trader it is important for you to determine whether the added features available on the WebIRESS platform are worth paying for as there are many free CFD platforms available that offer similar features.

It is advisable that you download a WebIRESS demo in order to become familiar with its many features and to determine whether trading CFDs on the WebIRESS platform suits your trading strategy. 

If you would like to learn more about DMA CFDs you can download our free CFD Guide.  

There are two main types of CFDs, direct market access (DMA) and market made (MM). The most popular type is the market made variety. The reason for the popularity of market made CFDs is simply because CFD providers offering this type of CFD are also able to offer CFDs over indices and forex pairs.  DMA CFDs are typically more common with traders that are more familiar with share trading for the simple reason that DMA CFDs allow traders to participate in the opening and closing phases of the market and also the order book of the underlying security over which the DMA CFD is based. Both varieties of CFD have their place amongst traders and investors and it is important that you choose the type that suits your trading style.

It is not uncommon for day traders and scalpers to utilise DMA CFDs rather than the market made variety as their orders flow directly onto the exchange and there is no market maker intervention meaning that order execution speed is often quicker with no risk of being re-quoted.  DMA CFDs are also favoured because day traders are able to participate and influence the opening and closing match price. The opening and closing phases of the market are the most liquid and of course liquidly is essential in any effective day trading strategy.

Often day traders also have CFD trading accounts with CFD providers offering the market made variety. The reason for this is because day traders like to monitor the movement of the cash indices, in addition to being able to trade them. Market made index CFDs are a cheap simple alternative to trading the actual futures contract which generally requires a higher upfront margin.

Some CFD providers offer both DMA and market made CFD from the same platform, this is the preferred solution for active day traders as it means that their DMA share CFD positions can be cross margined against their indice and forex CFD positions. Having both DMA and market made CFDs in one account also saves allot of paperwork as only one account needs to be managed, making the preparation of tax returns much easier.

Day traders often use both DMA and market made CFDs in their trading strategy, CFD providers who only offer market made CFDs refer to these traders as snipers as their strategy revolves around taking advantage of price discrepancies between DMA and market made CFDs. Such discrepancies often occur during the opening and closing phases of the market as it is during these phases that there are significant price changes, some of which may not be accurately reflected in the price of the market made CFD.  These pricing inaccuracies can result in arbitrage opportunities for shrewd traders.

It is important to note that each and every trader has their own trading style, some styles are better suited to DMA CFDs and others to the market made variety. Before making the selection between DMA or market made CFDs you should consider your trading style and determine whether the speed and accuracy of DMA CFDs or the versatility of the market made variety is better suited to you.

To find out more about trading CFDs you should download a copy of your free CFD Guide.

There are many good CFD brokers in Australia, their active marketing and promotions make it difficult to chose, some have advantages over the others but more often than not it is their fancy marketing makes you confident in your choice of provider.

When you sweep away all of the fog and evaluate each of the best CFD brokers on a few key metrics you will soon discover which provider genuinely suits your trading needs.

There are as few key metrics that you should judge your CFD broker on, these are:

• DMA or Market Made
• Web based or Downloadable trading platform
• Product Range

DMA or Market Made
It is important to ensure that you understand the differences between DMA and Market Made CFDs and the pro’s and con’s of each. DMA CFDs offer a few advantages in that they allow you to trade the opening and close phase of the market in addition to allowing you to participate in the market depth. DMA CFD are popular with scalpers and day traders but are not so popular with traders needing exposure to indices or currencies and wanting to place guaranteed stop loss orders, this is where Market Made CFDs have significant advantages over their DMA cousins.

Web Based or Downloadable trading platform
It can be quite confusing when choosing a CFD brokers platform as each platform has benefits and drawbacks. It is important to consider where you will be trading from as this will decide whether you use a web based or downloadable platform. If you intend to trade from work it would be better to choose a web based trading platform for the simple reason that web based platforms do not require a download, this means that they cannot be blocked by the firewall in an office, however, web based platforms come with some downside also in that they tend to lack much of the advanced charting functionality of downloadable platforms. Downloadable platforms a more suitable for home use as they offer significantly more advanced charts and order types in addition to added features such as back testing and customisable multi screen layouts. Professional day-traders and scalpers often prefer using downloadable platforms whereas casual traders tend to choose web based platforms.   

Product Range
It is important that when choosing the best CFD broker for your needs you should assess the products that they offer to ensure that can provide a range of CFDs that suit your trading plan. Some CFD brokers only offer CFDs on Australian Shares however others offer CFDs over stocks, indices and forex. If your trading plan covers all of these products you should be sure to choose a provider that does not restrict you to Australian share CFDs only.

Of course when choosing the best CFD broker for your trading needs you will need to asses all of the metrics above and make your determination based on your trading strategy. It is also advisable to download a few demo trading platforms available in the market, this will help you better understand whether the platform is suitable for your needs and trading style.

To understand CFDs in more detail and to learn how to develop a trading plan you can download our free CFD Guide.

There is a common misconception in the CFD industry that commission rates on DMA CFDs are higher than on their Market Made cousins, in this article we will dispel this myth and help you understand the differences between Direct Market Access (DMA) and Market Made CFDs and why this is a common misconception amongst traders and investors.

If you are a CFD trader you will probably already know that there are two types of CFDs, DMA and Market Made, the primary difference being that when trading with a DMA CFD provider your orders flow directly into the underlying market whereas with the Market Made variety your orders are accepted at the discretion of the CFD provider and may not always flow onto the market. Most Market Makers essentially run a book aggregating all of their client’s positions and hedging any resultant outstanding amounts.

The common misconception of pricing has come about due to the fact that DMA CFD providers incurring a cost to hedge their trades. Many people believe that because of this additional hedging cost DMA CFDs are more expensive to trade, however this is not the case. With the advent of electronic order routing DMA execution costs have decreased significantly. DMA cost reductions have been primarily due to brokers competing for market share and the rebates provided by the exchanges for high turnover market participants. With DMA Costs down to 1bps or less it is not surprising that many CFD market makers are now also offering DMA CFDs and hedging risk on their market made book more frequently.

The ultimate beneficiaries of lower hedging costs are the end clients of the CFD provider. As hedging cost decrease your DMA CFD provider is able to pass on these cost reductions to their clients, meaning that today retail traders are able to day trade and scalp DMA CFDs relatively cheaply.

With no real difference in commission between trading DMA CFDs or trading CFDs with a Market Marker it is not surprising that DMA CFDs are gaining in popularity amongst retail traders and professional investors alike. Some DMA CFD providers are even offering commission rates that are lower than those offered by their market made cousins, pioneering a path for the new wave of CFD trader. 

Of course you should always bear in mind that there are advantages and disadvantages of both CFD varieties, it is important determine which variety is more appropriate and suitable for your style of trading. 

You can find out more about trading DMA CFDs in our free CFD Guide.

Direct Market Access CFDs or DMA CFDs are one of the most transparent types of CFDs available. DMA CFDs have the advantage of allowing participation in the underlying market of the stock over which the CFD is quoted. DMA CFDs are relatively new and have only become popular in Australia over the last few years however, continue to become popular as traders realize the transparency offered by this type of CFD. 
 
DMA CFDs have significant advantages over the more traditional over-the-counter (OTC) variety in that they allow the trader to participate in the opening and closing phases of the market. Being able to trade in these phases of the market offer significant advantages to traders as they are can receive the opening or closing price of the day. Traditional over-the-counter CFDs do not allow the trader to participate in these phases of the market thus preventing the trader from being able to receive some of the best prices of the trading day.

Despite the drawback of not being able to participate in the opening and closing phase of the market, over-the-counter CFDs do have the advantage of allowing the trader to buy or sell volumes that may not be available in the underlying market during normal trading hours.

DMA CFDs have become popular amongst day traders and scalpers. The main reason for their popularity is because DMA CFD providers allow CFD trades to flow onto the underlying market in the stock on which the CFD is based allowing active traders to take advantage of relatively small price movements. Using DMA CFDs also allows day traders to get set at the opening price at the start of the day and clear their positions during the closing price during the closing match phase.

One of the disadvantages of DMA CFDs is that generally DMA CFD providers do not offer guaranteed stop loss orders. Guaranteed stop loss orders have the benefit of allowing the trader to manage their downside risk. Slippage often occurs when using stop-loss orders, guaranteed stop-loss orders remove this risk altogether.

It is important to be aware that prior to opening a CFD account with you should be aware that when trading DMA CFDs you will required to deposit a higher initial margin amount than the over-the-counter (OTC) variety. In addition to higher margins many DMA CFD providers will not able to offer you CFDs over indices and foreign exchange contracts due to these contracts being over-the-counter in their very nature.

There are relatively few platforms available that offer DMA CFDs, one of the most common platforms in the Australian market is webIRESS. WebIRESS offers the speed and reliability day traders and scalpers need in addition to a variety of different order types such as trailing stop-loss orders. Another popular platform is ProDeal, ProDeal offers all of the advantages webIRESS offers with the additional benefit of being able to trade over-the-counter CFDs from the same platform allowing traders to trade CFDs on indices and forex from their DMA CFD account.

It is important that before making the commitment to start trading DMA CFDs that you understand the risks associated with the product. Like all leveraged products trading CFDs can offer substantial rewards however there are also risks involved that if not managed correctly can lead to losses greater than the trader’s initial deposit.

Before choosing a DMA CFD provider you should ensure to trial their demo platform and read their Product Disclosure Statement which outlines in detail the fees and charges, provides trading examples, and outlines the types of CFDs offered along with the risks and benefits of trading CFDs. You should ensure that the CFD provider you choose is able to offer you the platform and products that suit your trading strategy.

To discover more helpful information about CFDs you can download our free CFD Guide.

Direct Market Access or DMA is the often used to describe a variety of CFDs that have become popular in the Australia market, these are affectionately known as DMA CFDs. With DMA CFDs your trade is passed directly through to the underlying share market with no dealer or market maker intervention, this means that orders are executed at the true market price and in a timely manner with no re-quotes. Trading DMA CFDs is much like trading shares online.

DMA CFDs provide complete order transparency. Traders are also able to participate in the market depth of the underlying security on which the CFD is based by joining a bid or offer queue, they are also able to participate in the open and closing auction phases of the market. DMA CFDs provide all of the benefits of trading shares with the additional leverage that CFDs offer.

Trading DMA CFDs is very similar to trading shares, traders are able to hit the bid or offer or join the buy or sell queue. DMA CFD traders have significant advantages over traders using market made CFDs in that they have the potential to enter and exit trades at superior prices.

When trading DMA CFDs you will be required to subscribe to exchange data, the cost of data varies from exchange to exchange. Once subscribed you will have access to real time prices and market depth allowing you to see the number of buyers and sellers at each different price level and participate in order queues allowing partial fills and superior execution.

One disadvantage of DMA CFDs is that guaranteed stop losses are not offered, typically DMA CFDs traders use options to manage their downside risk however these can be overly complicated for the novice trader.  

When trading DMA CFDs traders have the ability to become price makers meaning that when an order is placed it is transmitted to the real market and can have an effect on the price of the stock over which the CFD is based.

Trading CFDs using a Direct Market Access (DMA) model is best suited for frequent traders that trade on an intraday basis. Frequent traders will find that DMA CFDs will enable them to trade freely without dealer intervention and obtain better prices when buying and selling. DMA CFDs are also suited to active day traders and scalpers who are looking to profit from small price changes quickly.

There are a number of CFD platforms that you can trade DMA share CFDs on, the two most common platforms in Australia are webIRESS and ProDeal. Both platforms allow traders to participate in the market depth of the DMA CFD which they are trading. The webIRESS platform is also very popular within the share trading community, mainly because of the variety of order types on offer, whereas ProDeal is very popular amongst CFD traders, this is because of the broad range of CFD on offer and its advanced charting functionality.

It is important to note that before starting to trade DMA CFDs you consider whether this type of CFD suits your trading style, choosing the wrong CFD type will have an effect on the success of your trading strategy.

You can find out more about DMA CFDs by downloading our free CFD Guide.