CFD, or Contract for Difference, is the usual method of Trading the Forex Markets. CFD accounts usually use leverage and can control a much larger amount of market capital than actual capital in the account. The way a CFD works is that you open a contract with your broker, essentially making a bet on which way the price is going to go. If you’re wrong, you give the broker the amount of money you’ve betted (or risked) on that trade. If you’re right and the price goes in your predicted direction, the broker gives you the amount of money you’re owed from the setup.