I spent a while on a dummy account a few years, my advice would be to avoid it, unless you have money to lose and understand and follow economics to a high level you will most likely lose a lot of money. Even top economists get it wrong regularly and the markets are in a very unpredictable state, so whatever you do will be a pretty big gamble. That said I would be going short on most markets, due to the current U.S deficit and debt ceiling being reached, the stopping of QE, China's apparent slowdown, U.K's cuts about to kick and our property bubble having not popped completley yet, along with other factors but thats just my personal opinion and could be completley wrong.
This video gives an overview of how it works,
Spread Betting Explained | Spread Betting Online | IG Index
If you have money to spend on this sort of thing I would reccomend following and investing in individual small cap shares, or defensive shares that give a dividend, the sites that I follow for this sort of thing are,
Free Portfolio, Share dealing, ISAs, PEPs, SIPPs, CFDs, Spread betting - Interactive Investor - This is really good for setting up a shares account and finding out info on different shares.
This is Money: Be your own financial adviser - predictions, advice & tips
Investing, investment advice, financial news & more - MoneyWeek
Britishbulls, Home Page
Might be worth getting a book on how to read fundemantals, like chart patterns and financial statements, but its a bit tricky and not always that relevant.