Trade Stock Indices

NKY 225 Index

NKY 225 is a stock market index for the Tokyo Stock Exchange Market in Japan. This index tracks the stocks of the top 225 companies displayed and shown in Tokyo Stock Exchange Market.

Best Strategies to Trading NKY225 Guide - Download NKY225 Strategies Tutorial

NIKKEI 225 Trading Chart

NIKKEI 225 chart is displayed & illustrated and shown above. On the above example the stock index is named as JP225CASH. As a trader you want to find an online broker that provides NIKKEI 225 chart so that you as a trader can begin to trade it. The example That is illustrated above is that of NIKKEI 225 on MT4 FX and Platform Software.

Other Information about NIKKEI 225 Index

Official Stock Index Symbol - NKY:IND

The 225 constituent stocks which constitute the NIKKEI-225 are picked from top Japanese firms. The NIKKEI 225 share index is closely followed as an indicator of the prosperity of the Japanese businesses. The calculation of this stock index is a simple formula that is based on the market capitalization.

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NIKKEI 225 represents relative trend movement of the top 225 stocks in Japan. Because this index tracks 225 companies it will be more volatile when compared to an stock index like Germany DAX30 that only tracks 30 firms.

As a trader wanting to trade this index, this stock index is in general more volatile and the market trend for this index although generally moves upward over a long time it will have more oscillations than other stock index. Your trading strategy should factor in more volatility when trading this index.

When the Japanese economy is doing well (most of the times it is doing well) this upward trend is more than likely to be ruling. A good stock index trade strategy would be to buy the market dips.

During Economic Slow-Down and Recession

During economic slow-down & recession times, companies start to report lower profits & lower growth prospects. It is because of this reason that investors start to sell stocks of companies that are posting and recording lower profits & hence index tracking these particular stocks will also start to move downward.

Therefore, during these times, market trends are likely to be moving downward & as a trader you should also adjust your trading strategy accordingly to fit the prevailing downwards trends of the stock market index that you are trading.

Contracts & Specifications

Margin Requirement Per 1 Lot - JPY 90

Value per 1 Pip(Point) - JPY 0.1

NB: Even though general trend is in general moves upward, as a stock index trader you've got to factor in daily market volatility, on some days the index might move in a range or even retrace, market retracement may also be significant some times & therefore as a trader you need to time your entry precisely when using this trade strategy: Index trade strategy and at the same time use proper money management principles just in case of more unexpected volatility in the market. About money management rules in index topics: What's money indices management and trading money management methods.

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