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How to start trading in the UK 

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Trading is a method some people use as a side hustle, especially those who have been affected by the cost of living crisis, and as the market is easier than ever to access, almost anyone can do it. In fact, it’s now estimated that there are nearly a million active traders in the UK, with many of these based here in Wales. 

But, although trading is popular, the risks associated are high. As a result, it’s essential to fully educate yourself on the market and be aware of its unpredictability. With that in mind, here are the very basics of trading if you are looking to get started. 

What is trading?

Trading involves purchasing and selling financial goods, like stocks and shares, and using price fluctuations to seek profit. Traders will monitor volatility in financial markets, then attempt to buy low and sell high for financial gain. 

Types of trading 

There are an endless number of trading strategies you can use depending on your desired financial outcome, acceptance of risk, and investment of time. 

Day trading

Day trading involves capitalising on the rapid fluctuations in prices by purchasing assets then selling them within the same trading day. In the UK, this is Monday to Friday from 8:00 to 16:30. This method can be very effective but also highly risky, and advanced trading skills and larger funds are required. 

Position trading 

Position traders will buy assets based on a trend, and hold out until the trend has peaked, selling their asset when it’s most profitable. Position trading doesn’t involve as much skill or involvement as day trading and the short term risks are lower. However, you do need to deal with short-term fluctuations and have a good understanding of market cycles. 

Scalping

Scalping is a fast paced, short term strategy that involves trading numerous times a day – sometimes hundreds – and profiting off minor price fluctuations. This style of trading requires a lot of discipline, a larger investment of time, and expert knowledge of market liquidity as a large loss could undo all the hard work from previous trades. 

Swing trading

Swing trading is a short-to-medium term strategy that involves holding positions between a few days to several weeks, potentially even a few months. Swing traders base their trades on technical analysis, anticipating an asset’s next move then entering and exiting their position at the right time. 

After-hours trading 

After-hours trading, aka extended hours trading, involves trading outside of normal trading hours, either before the market opens (pre-market trading) or after it’s shut (after-hours trading). After-hours trading is often done for convenience or preference to trade with fewer market participants. It’s also common for traders to use extended hours to manage trades without waiting until the next day to prevent missing out on valuable price swings. 

Know the risks 

If you’re looking to start trading, it’s important to be aware of the substantial risks. Even the most experienced traders can face detrimental losses as the financial markets move quickly and erratically. Having full knowledge and a thorough understanding of the market is essential. 

Getting started: Opening an account

If you’re completely new to trading, it’s recommended that you start with a demo account. Demo accounts allow you to practise the art of trading with real market conditions (mimicked by brokers) but without real money. It’s a highly effective educational tool that offers you the chance to build the knowledge, skills, and tactics required to succeed without taking any risks. 

Trading can be a great investment, particularly for those with low pensions, but conducting thorough research is essential to ensure financial success. Consider which tactics will work best for you and open a demo account to practise without risk. Once you’re ready, you can open a real trading account and get started. 

Business

Holyhead closure: Storm damage could delay reopening until March

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HOLYHEAD port faces an extended closure following significant storm damage, with fears it may not reopen until March. The disruption has caused widespread consequences for trade, travel, and postal services across the Irish Sea.

The Terminal 3 berth, used by Irish Ferries, sustained extensive damage during Storm Darragh earlier this month. Drone footage revealed a ‘dolphin’ platform had fallen into the sea, exacerbating the situation and impacting the adjoining terminal used by Stena Line.

Currently, all sailings are suspended until January 15, though experts warn this date may be overly optimistic. Garrett Bridgeman, managing director of An Post, Ireland’s national postal service, said: “I don’t think January 15 looks like the date. If you look at the level of work that needs to be done and the safety checks required afterwards, February or March seems more realistic.”

Stena Line stated their priority remains resuming operations safely, while the Marine Accident Investigation Branch (MAIB) is conducting an inquiry into the incident. A spokesperson for MAIB confirmed inspectors are reviewing evidence to understand the circumstances that led to the damage.

The Welsh Government has implemented contingency plans, with additional sailings arranged from Wales and the Mersey area despite challenging weather conditions. Welsh Transport Minister Ken Skates said: “This is a challenge we have never faced before, but we’ll continue working with UK and Irish governments to support businesses and travellers.”

Increased pressure on Fishguard and Pembroke ports

Pembroke Port this week (Images: Martin Cavaney)

With Holyhead out of action, Pembrokeshire’s ports—Fishguard and Pembroke Dock—are facing increased pressure to handle additional sailings. Stena Line and Irish Ferries have already announced extra services from these ports to help ease the disruption.

Irish Ferries has confirmed it will launch a new service from Fishguard, while Pembroke Dock is also experiencing heightened activity with extra crossings scheduled. Passengers and freight operators are urged to check ferry company websites for the latest updates.

Cabinet Secretary for Transport and North Wales Ken Skates praised the efforts of ferry operators and local authorities in managing the surge in activity at Pembrokeshire’s ports. “Both Fishguard and Pembroke Dock are playing a crucial role in maintaining the flow of goods and passengers across the Irish Sea during this unprecedented disruption,” he said.

Local authorities and Transport for Wales are working to ensure traffic flows smoothly around these ports, with additional measures in place to minimise congestion and delays.

Meanwhile, the Irish Road Haulage Association (IRHA) has expressed growing frustration with the lack of clear communication from Holyhead Port authorities. IRHA President Ger Hyland said: “We need correct and true information with a definite timeline. The piecemeal updates have been unhelpful.”

Hyland highlighted the financial toll on hauliers, with some operators facing losses of up to €3,000 per vehicle weekly. He urged ferry companies to increase their efforts to ease the crisis and called on the Irish government to explore financial compensation for affected businesses.

The situation has been escalated to UK Prime Minister Keir Starmer, with calls for direct intervention to expedite repairs and alternative arrangements. Minister of State James Lawless, who met with haulage industry leaders, acknowledged the urgent need for clarity and support.

With Pembrokeshire ports now under increased strain, stakeholders are closely monitoring the situation, awaiting updates from Stena Line in mid-January.

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Business

Derelict Cilgerran house to be transformed into cafe

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PLANS by a village shop owner to convert a house “in a state of disrepair” to a café to “improve the variety of community facilities” locally have been given the go-ahead.

Mrs Morris, through agent Harries Planning Design Management, sought permission from Pembrokeshire County Council to convert The Old Post House, High Street, Cilgerran, currently a four-bed dwelling, to a ground floor café, along with a first-floor flat.

The application received five letters of support, saying it would provide local jobs, support the community, promote Welsh and local food, and provide a local community hub, with three letters of objection, raising concerns about parking and traffic, and potential odours from the premises.

A supporting statement, through the agent, said: “The proposed site is currently a dwellinghouse, in current need of modernisations and renovations throughout. The site is under the same ownership as the neighbouring village stores Siop Y Pentre,” saying the proposal “can be read as an extension to the existing Siop Y Pentre”.

“Siop Y Pentre is a thriving local community village shop which acts as a village hub. The shop provides local residents with day-to-day necessities, with a focus on local, sustainable and minimal waste products,” the statement says, adding the dwelling it seeks to convert “is in disrepair and in need of internal works to make suitable for modern living”.

It went on to say: “The proposed café seeks to retain its focus on local and seasonal produce with minimal waste and would provide a welcomed opportunity for socialising, especially during the daytime. The café will also seek to employ local staff retaining a community feel throughout. As such, the principle of the café adjacent to the existing village store is considered acceptable. The site seeks to encourage a sustainable community, with development of an appropriate scale and nature.

“Further to this, the location of the development is within the settlement boundary and seeks to fulfil a need for day-time socialising environments currently lacking within Cilgerran.”

The application was conditionally approved by county planners.

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Business

Ferry Terminal ‘extremely busy’ due to ongoing Holyhead closure

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PEMBROKE DOCK Ferry Terminal has been experiencing significant congestion today as ferry services remain under immense pressure following the closure of Holyhead Port earlier this month.

The disruption, caused by storm damage, has rerouted ferry traffic through Pembrokeshire, leading to long queues and crowded facilities at the terminal.

The Herald can confirm that it has been very busy today with cars, lorries, and foot passengers queuing in large numbers. Staff are working tirelessly to manage the influx, directing vehicles and assisting passengers as they prepare to board the heavily booked ferries.

A spokesperson for the Port of Milford Haven said: “We are working closely with ferry operators and local authorities to ensure traffic flows as smoothly as possible, but the sheer volume of vehicles is causing unavoidable delays.”

Travelers are being urged to arrive early for their sailings and to remain patient as the terminal operates at full capacity.

Both Stena Line and Irish Ferries have increased capacity on their Pembrokeshire routes, deploying larger vessels, including the Stena Adventurer and the MV James Joyce, to handle the surge in demand.

From our position at the terminal, our photographer has captured photos showing long lines of vehicles, groups of foot passengers carrying luggage, and port staff coordinating efforts to ease congestion.

Authorities are advising non-essential travelers to consider rescheduling their journeys where possible and to monitor updates from ferry operators closely.

(Photos: Martin Cavaney/Herald)

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