With all the things in the world it has its own benefits and drawbacks and just like with spread betting, you could have drawbacks and spread trading risks to consider. Getting into spread betting can be easy that's the reason many people don't consider the risks. You can be losing so much so it is important that you know exactly what bi getting into.
To ensure that you would be safe, take things easily and leisurely. Never think that you need money to trade. This attitude is dangerous and could lead to the loss of all your hard-earned resources.
The drawbacks and spread betting risks is that you're going to overstrain your account. You could lose what could be a guaranteed win. You will be able to place a bet for only $1 at every point. Stock exchange indexes are unpredictable. They can move by hundreds of points per day, giving you the chance to win hundreds of thousands. This makes it irresistible for traders to not gamble the last remaining money they have.
This example will help you understand the situation better. You can bet on the US stock market for $10 per point. If the stock market increases by 80 points, you'll get a vast income of no less than $800. If it's not your lucky day, you can lose up to $800. This is one of the risks of betting and trading. Remember that trading is a game and you can win or lose more than you've bargained for. http://pokermovies.co.uk/video-poker-does-it-pay/
Stop losses is a way to avoid losing your asset or overstressing your account. http://andralemarie.com/how-to-be-lucky-at-a-game-called-bingo/
This is like bookmarking a specific degree of index that you think you are able to only afford to lose. This is done in trading most of the time. This will make it easier for you to monitor your gains and losses in the market. Another new version of this is the controlled or limited risk. This version has an extra fees and this will automatically close your bet when you reach your limit.