What is cocoa CFD trading?

Contracts for Difference (CFDs) represent an agreement between two parties to exchange the difference in the price of an underlying asset between the time the contract is opened and when it is closed. As with futures, Cocoa CFD trading allows traders to trade both long and short, whilst also benefitting from leverage.

Do cocoa CFDs have expiry dates?

As with futures, Cocoa CFD trading allows traders to trade both long and short, whilst also benefitting from leverage. However, cocoa CFDs do not have expiry dates, unless they are tracking cocoa futures. Nevertheless, cocoa CFDs are subject to swap fees if positions are held open overnight. Risk-Free Demo Trading Account

Is cocoa a soft commodity?

Although cocoa is one of the world’s smallest soft commodity markets, it has global implications on food and candy producers, and the retail industry. Cocoa prices displayed in Trading Economics are based on over-the-counter (OTC) and contract for difference (CFD) financial instruments.