It’s important to note that turbo stocks are for intraday trading and not for swing or position trading. Take note that your active trading positions will close automatically at the end of the trading session at the last price available, and therefore, you should make sure that you close your trades yourself to target a good closing price. 

There are various advantages that come with trading turbo stocks compared to regular CFDs on stocks. Let’s take a look at them in more detail.

Trade with 200:1 leverage

As already mentioned, CFD traders get to enjoy leverage, while real stock traders do not get that luxury. Leverage helps traders to increase their purchasing power by borrowing funds from their broker. In this case, 200:1 leverage means that every 1 dollar deposit a trader makes, can have up to 200 dollar purchasing power. The main advantage of trading with leverage is that traders can speculate on asset prices without the need to commit huge amounts of capital to trading. 

Most regular CFDs on stocks have up to 10:1 or 20:1 available leverage. While the turbo stocks at XM are offered at 200:1 leverage. Which is a huge difference. However, keep in mind that high leverage is a double-edged sword. This tool can increase your rewards when the market moves in the predicted direction. On the other hand, when the price moves against a trader, high leverage can amplify losses. Which is why it’s important to use leverage with caution. 

Take your pick of the most popular stocks in the market

While it’s true that the number of available turbo stocks is limited, it should be mentioned that most of the big companies and well-known brands are presented. Traders have the opportunity to speculate on the prices of Adidas, Amazon, Apple, Facebook, Google, Microsoft, BP, etc. These companies are not only popular but have highly liquid stocks. High liquidity is crucial for day traders, as it brings more trading opportunities and tighter spreads (difference between the bid and ask price).

Before opening a live account at XM to trade turbo stocks, there are various things to consider, such as fees, platforms, and account types. 

Trade with no extra fees

When trading turbo stocks, you will not be charged commissions. Trading fees are included in spreads. In addition, there are no swaps as trading is conducted intraday. 

Turbo Stocks are available on MetaTrader 5

MetaTrader 5 (MT5) is a multi-asset platform that allows you to trade Forex, stocks, futures, options, cryptocurrencies, and indices. MT5 enables advanced charting analysis with multiple timeframes, drawing tools, and technical indicators. MT5 also supports algorithmic trading using Expert Advisors (EAs). The software supports multiple order types, such as market orders, limit orders, stop limit orders, and more. In addition, MT5 has a depth of market (DOM) feature, which enables day traders to analyze bid and ask prices to make a more informed decision.

Turbo Stocks are available on the Standard account

The minimum initial deposit required to open the Standard account is 5 USD, and the available leverage goes up to 1000:1. There are no commissions and spreads start from as low as 1 pip on Euro against US Dollar. Traders can open accounts in 10 currencies, including EUR, GBP, USD, PLN, and more. In addition, an Islamic account, also known as a swap-free account, version is also available. 

To sum everything up, the turbo stocks offering is a great opportunity for day traders that do not have huge amounts of trading capital and could not afford to trade stocks before. While most brokers offer up to 20:1 leverage on stocks, turbo stock traders can enjoy up to 200:1 leverage. However, it should be noted that leverage is dangerous when used in the wrong way, and most regulators limit beginner traders' access to high leverage for this very reason. What makes turbo stocks attractive is that XM has picked highly liquid stocks, which means that day traders can get low trading fees and multiple trading opportunities on these instruments daily.