How To Buy Fedex Stock

How To Buy Fedex Stock

Welcome to Trading Brokers step by step guide to buying Fedex stock. Here you will find an easy to understand explanation of trading Fedex stock. This includes how to buy Fedex shares online, what you need to trade Fedex stock and how to open a trading account with a stock broker so that you can buy Fedex stock online today.

Maybe you have heard of buying Fedex stock online or through a friend. Perhaps you are looking to trade and are curious about the different options available to you. Whether you are looking to speculate, invest or just learn more, this guide on how to buy Fedex stock can help you along your journey.

Overview of Fedex

FedEx Corporation provides transportation, e-commerce, and business services worldwide. The company was founded in 1971 and is headquartered in Memphis, Tennessee.

Its FedEx Express segment offers shipping services for delivery of packages and freight. Its FedEx Ground segment offers business and residential money-back guaranteed ground package delivery services; and consolidates and delivers low-weight and less time-sensitive business-to-consumer packages.

Its FedEx Freight segment offers less-than-truckload and other freight delivery services. As of May 31, 2020, this segment had approximately 30,000 vehicles and 373 service centers.

Its FedEx Services segment provides sales, marketing, information technology, communications, customer service, technical support, billing and collection, and other back-office support services.

It also offers FedEx Mobile, a suite of solutions to track packages, create shipping labels, view account-specific rate quotes, and access drop-off location information; FedEx Office, a suite of printing and shipping management solutions, including digital printing, professional finishing, document creation, design, direct mail, signs and graphics, custom-printed boxes, copying, computer rental, Wi-Fi, and corporate print solutions; and packing services, supplies, and boxes, as well as FedEx Express and FedEx Ground shipping services.

Its Corporate, Other and Eliminations segment offers international trade services in customs brokerage, and ocean and air freight forwarding services; cross-border enablement and technology solutions, and e-commerce transportation solutions; integrated supply chain management solutions; time-critical shipment services; and critical inventory and service parts logistics, and technology repair.

It offers international trade advisory services, including assistance with customs-trade partnership against terrorism program; and publishes customs duty and tax information. It has a strategic alliance with Microsoft Corp.

Investing in Fedex

Investing in Fedex stock is when you buy Fedex shares to own them outright, usually with a view to holding them for the long term. Investors would usually look to buy Fedex stock in order to try and make a profit when the Fedex stock price increases in value.

Trading Fedex stock

Trading Fedex stock is when a trader speculates on the movement in the Fedex stock price without actually owning the shares in Fedex. Traders tend to buy and sell Fedex stock on a more frequent basis, usually speculating on daily, weekly or monthly price fluctuations.

You can buy and sell Fedex stock online through various methods including spot markets, futures contracts, options contracts, spread bets, CFDs (contracts for differences) and ETFs (exchange-traded funds).

Fedex CFDs

One of the most popular ways to trade Fedex stock is via CFDs (contracts for differences). When trading Fedex CFDs, you do not actually invest in Fedex shares, meaning you are not tied to them. You are only speculating on the rise or fall of the Fedex stock price. A CFD is a financial contract, typically between a broker and a trader, where one party agrees to pay the other the difference in the value of a security, between the opening and closing of the trade.

A CFD trader can go short or long, set a stop loss to limit losses and a take profit to exit the trade if in a profitable position. CFD traders will choose stocks that they have an interest in trading and apply trading scenarios that align with their own personal objectives.

Traders would open long (buy) positions, if they think the stock price of Fedex will rise or short (sell) positions if they thought that the Fedex stock price will fall. The difference in price between the entry and exit price is the traders realised profit or loss, excluding any broker commission and fees.

For example, if you think Fedex shares are going to increase in price, you could buy a share CFD on the company. You will exchange the difference in price between when your position is opened and when it is closed, earning a profit if the shares increase in price and making a loss if they decrease in price.

On the contrary, if you think Fedex shares are going to decrease in price, you could sell a share CFD on the company. You will still exchange the difference in price between when your position is opened and when it is closed, earning a profit if the shares decrease in price and making a loss if they increase in price.

Fedex futures

Futures contracts are an agreement to buy or sell a specified asset at a certain date and price. Fedex investors can use futures trading to speculate on the price movement of Fedex stock in order to try and make a profit. Traders would look to go long (buy) a futures contract if they believe the price will rise or short (sell) a futures contract if they believe the price will fall. The difference in price between the price at the start and expiry date of the futures contract is the profit or loss from the contract.

Fedex spread betting

Spread betting is a financial derivative that enables traders to speculate on Fedex stock falling or rising without taking ownership of the underlying asset. If the trader makes a correct prediction and the asset does move in that direction, they could make a profit, minus any broker fees. On the other hand, if the price moves against their prediction, they would incur a loss.

Financial spread betting is similar in ways to CFD trading except that you are betting a fixed amount per point on the Fedex stock price movement (either up or down) and then pay or receive the difference between the opening and closing price of the bet.

Fedex options

Fedex options are financial instruments that are derivatives based on the value of Fedex’s stock. Traders usually enter into calls when they expect the price of the underlying asset to increase, and puts when they expect the price to decrease. Option contracts come with an expiration date before which the holder needs to exercise their option to buy or sell an underlying asset at an agreed-upon price. The stated price on an option is known as the strike price.

Buyers can choose to exercise their calls and puts or not whereas sellers are obligated according to the buyer decision. Therefore, the sellers (writers) can be exposed to more risk than buyers whose losses can be limited to the premium paid for the contract in the instance they do not exercise the contract. On the other hand, sellers could lose more depending on the Fedex market price.

Fedex ETFs

Exchange Traded Funds (ETFs) enable traders to invest in a basket of securities that trade intraday like individual stocks on an exchange, and are typically designed to track the performance of an existing market or group of markets.

Each ETF is usually focused on a specific sector, asset class, or category. ETFs can be commonly used to help diversify an investment portfolio and create a mini-portfolio, or, for the active trader, they can be used to try and take advantage of price movements.

Fedex is included in various ETF’s with shares in the U.S. ETF market. Traders who are interested in trading other companies alongside Fedex, may consider ETFs.

Where to buy Fedex stock?

Stock trades are processed via a stock exchange, where a stock broker represents each investor. The majority of investors will nowadays use an online stock broker to buy and sell stocks through a stock trading platform which will enable them to connect to the stock exchange. You can see a selection of our best stock brokers below with whom you can open an account to trade stocks online.

Broker
Rating
Regulated
Min. Deposit
Founded
Max. Leverage
1.

ASIC, BVI, CBI, FFAJ, FSA, FSCA

Min $100 Deposit

2006

1:400

Review Trade! Trade!
Terms & conditions apply
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
2.

FCA, CFTC, NFA, BaFin, FINMA, ASIC, FMA, MAS, FSA, FSCA, DFSA, JFSA, METI, MAFF

Min $250 Deposit

1974

1:200

Review Trade! Trade!
Terms & conditions apply
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
3.

ASIC, FCA, DFSA, SCB, CySEC, BaFin, CMA

Min $200 Deposit

2010

1:500

Review Trade! Trade!
Terms & conditions apply
CFDs and FX are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
4.

ASIC, CySEC, IFSC, DFSA

Min $5 Deposit

2009

1:888

Review Trade! Trade!
Terms & conditions apply
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.28% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
5.

ASIC, CySEC, FSA

Min $200 Deposit

2007

1:500

Review Trade! Trade!
Terms & conditions apply
Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Why trade Fedex stock?

Trading the stock market has become a popular investment activity for many people, especially with the technology that we have these days making it more accessible than ever. There are a vast number of trading brokers, trading platforms and trading apps available for buying and selling Fedex stock with relative ease. The cost involved to get started makes trading Fedex stock accessible to traders of all experience levels from across the globe.

The availability of leverage has also contributed towards the increase in aspiring traders. Leverage allows traders to hold a position size greater than they would have been able to without it. E.g. An account balance of $1,000, could take a position size of $5,000 with 1:5 leverage. Whilst this can increase potential profits, it also greatly increases risk. It is therefore of the upmost importance that you have a clear understanding of the significant risks involved with online trading, especially when using leveraged positions.

The majority of traders would look to buy and sell Fedex stock to try and earn profit from the variation in Fedex’s stock price. When trading Fedex CFDs you can speculate long and short on prices rising or falling without actually needing to invest in Fedex shares. This can make it a more convenient trading method for anyone who has a trading account with an online broker. Alternatively, long term investors may purchase traditional shares in Fedex’s stock for a more long-term hold.

Buying Fedex stock can also be a way to diversify a trading portfolio and to hedge against shares in other stocks or investments in other asset classes such as forex, commodities, precious metals and cryptocurrencies.

However, before investing in Fedex, it is important you understand the dynamics that affect the Fedex stock price.

How to trade Fedex stock online?

If you have taken the time to read through the above, you should hopefully have an understanding of how to trade Fedex stock online. Here is a summary of the key steps:

1.     Decide if trading Fedex stock is for you

Trading Fedex stock online carries an element of risk and can take more time than other forms of investing. You will need to research the company, manage your positions, follow market news and decide how to react to it. It is important to understand the risks and dedication that comes with trading Fedex stock online.

2.     Educate yourself

Before trading Fedex stock, it is imperative to learn as much as possible about investing and trading online. Any mistake could prove to be costly. There is an abundance of free educational materials provided by many online brokers that can help you to improve your trading skills and knowledge.

Most brokerages will also provide a free demo trading account so that you can practice trading Fedex stock online with virtual funds in order to familiarise yourself with the trading platforms and practice your trading strategies until you feel confident enough to open a real trading account.

3.     Choose a Fedex stock broker

In order to trade Fedex stock online, you will need a broker account and trading platform to execute your trade positions through to the market. When choosing a broker, there are a few important things to consider such as regulation, commission fees, platforms, tools, education, funding options and customer support.

If you do not have the time to research brokers, you can see a list of our best brokers that we have already prepared to help traders. If you would like to know more, you can also view our detailed guide on how to choose a trading broker.

4.     Research Fedex

If you have made it this far then you may be ready to start trading Fedex stock online! The next step is to research Fedex to help increase your knowledge in the company. The best brokers should have this information conveniently displayed for you within their trading platform.

5.     Have a trading plan

Some of the most important factors that can help determine Fedex stock trading performance can be the trading plan and discipline. It is important to have a solid trading plan personalised to your own needs that includes the money management and trading strategy that you will use. Most experts and professional traders would try to not let negative emotions such as fear, anger and greed affect their trading strategy.

6.     Buy and sell Fedex stock

Once you feel ready to trade Fedex stock online, you can analyse the market to help decide if and when you will place your trades. After placing a trade on Fedex, you will need to keep track of how it performs and manage it according to your trading plan. Some investors will keep hold of Fedex trades for the long-term, whereas traders may buy and sell Fedex stock on a daily basis.

Is trading Fedex stock right for me?

Trading Fedex stock is a popular choice for long-term investors and active traders. It can be suitable for scalping, day trading and swing trading. Traders who would usually trade forex, trade indices, trade commodities, trade cryptocurrency, may look to diversify their portfolio.

However, it is important to understand the significant risks involved with trading Fedex stock online, especially when using leveraged positions. Most experts would suggest trading on a demo account with virtual funds to begin with.

This can be a useful way to familiarise yourself with how to trade Fedex stock and using trading platforms whilst allowing you to practice your trading strategies until you feel confident and produce consistent results. Most stock brokers provide unlimited demo accounts free of charge.

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