Trade Stock Indices

What's FTSE100 Strategy? - Course for Trading/Transacting FTSE 100 Index

FTSE 100 Strategies Guide Download - FTSE Strategies Guide Tutorial

FTSE 100 Chart

FTSE 100 chart is illustrated & shown & shown above. On above example the index is named as UK100CASH. As a trader you want to find an online broker that offers FTSE 100 chart so that as you as a trader can start to trade it. The example illustrated above is of FTSE 100 on MetaTrader 4 FX and Software/Platform.

Strategy to FTSE100 Index

FTSE 100 shows the relative market movement of the top 1 hundred shares in UK. In general the share value of the top 1 hundred companies will keep heading upwards, hence this stock index will also over time keep heading upward. Should a corporate not meet required business expansion targets, the corporate will be removed from the index and replaced with an alternative company that has better growth prospects.

As a trader wanting to trade this index, general direction at any one moment will likely be more bullish than bearish. This is because as long as these 100 companies being tracked and monitored are doing booming business, then their share value will keep heading and moving upward, & threfore this stock index will also keep heading & moving in an upward trend.

As a indexes trader you want to be biased and keep on buying as the index moves & heads upwards. When UK economy is performing well (majority of the times it is performing well) this upward trend is more than likely to be in place. A good trading strategy for this index would be to buy dips.

During Economic Slow-Down & Recession

During economic slow down recession periods, corporations begin reporting slower revenues, slower profits and lower business growth forecast. It is because of this reason that traders begin to sell stocks & shares of corporations that are reporting & recording lower profits and hence index tracking these particular stocks will also start to move downwards.

Hence, during these times, market trends are more likely to be going & moving down & as a trader you should also adjust your trade strategy accordingly to fit the current downward trends of the stock market index which you are trading.

Contracts & Details

Margin Requirement Per 1 Lot/Contract - £ 70

Value per 1 Pip(Point) - £ 0.1

NB: Even though general and overall trend is in general move upward, as a stock indices trader you've got to factor in daily market volatility, on some of the days the index might move in a range or even pull back, market retracement/pullback might also be significant some times & hence as a trader you need to time your entry strictly using this trading strategy: Index trade strategy & at the same time use appropriate & suitable and suitable/proper money management strategies & guidelines in case there's more unexpected market trend volatility. About stock index money management guidelines and rules courses: What's stock index money management guidelines and techniques & index equity management techniques.

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