Risk warning CFDs are complex instruments. 74–89% of retail investor accounts lose money when trading CFDs.

Module 1 — Financial Markets and Trading Fundamentals

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About Course

Module 1 has 23 lessons. Each lesson has four parts: Explanation, Key points, Try it and Sources. Definitions come from regulators (the U.S. SEC’s Investor.gov and the CFTC glossary), the Bank for International Settlements (BIS), exchange websites and the free OpenStax textbooks Principles of Finance 2e and Principles of Economics 3e. The five course-library books focus on analysis and psychology, so they are not used here.

Level: Beginner · Before this: Module 0 · After this: Module 2 (brokers and platforms).

Course Content

Part 1 — What markets are

  • Lesson 1.1 — Trading vs investing
  • Lesson 1.2 — What financial markets are and why they exist
  • Lesson 1.3 — Main types of financial markets
  • Lesson 1.4 — Primary vs secondary markets
  • Lesson 1.5 — Financial assets and financial instruments
  • Lesson 1.6 — Stocks, bonds, currencies, commodities, indices and derivatives
  • Lesson 1.7 — Exchanges vs over-the-counter (OTC) markets

Part 2 — Who trades, and how prices form

Part 3 — Trading basics

Module quiz and sources

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