Hang Seng 50 Index
Hang Seng 50 tracks the market capitalization of the top 50 corporations that are displayed on Hong Kong Bourse. The companies displayed are also chosen and selected from the most profitable economic sectors in the Hong Kong economy.
The HANGSENG 50 Trade Chart
The HANG SENG 50 chart is displayed and illustrated & shown & displayed above. On the example above this is named as HK50CASH. As a trader you want to find a broker that provides HANGSENG50 trade chart so that as you as a trader can start to trade it. Example displayed above is of HANGSENG50 on MT4 FX and Stock Index Platform.
Other Data about HANGSENG 50 Index
Official Symbol - HSI:IND
The 50 constituent stocks which make up the HANGSENG 50 are chosen from the best performance corporations in the Hong Kong economy. The 50 stocks constitute majority of the turnover volume in the Hong Kong Stock Market. The companies displayed on this stock index represent a total of 60%market capitalization of all the securities displayed & illustrated and shown on Hong Kong Stock Market.
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The HANGSENG 50 which keeps track of the capitalization of the top 50 corporations in Hong Kong. This stock index generally moves upward over the long-term but it's more volatile in its trend movements. When compared to other indices like EURO STOXX and DAX 30 indices which have lower volatility when it pertains to their trend movements, this stock index has wider and more volatile swings in its trend movements.
Over a long period of time this index will in general move upward, as a trader you want to be biased and keep on buying as the index moves & heads upwards.
A good index trading strategy would be to buy the market dips - although as a trader wanting to trade this index, be prepared for much wider swings(more volatile swings) when it comes to this stock index.
During Economic Slow-Down and Recession
During economic slow down & recession periods, firms begin reporting lower earnings, lower profits & lowers growth prospects. It is due to this reason that traders begin to sell stocks of companies which are reporting & recording lower profits & therefore stock index monitoring & keeping track of these particular specifed stocks also will start moving downward.
Hence, during these times, the trends are more likely to be heading & going downwards & as a trader you should also adjust your trading strategy accordingly to fit the prevailing downwards trends of the stock market index that you're trading.
Contracts & Specifications
Margin Requirement for 1 Lot - HKD 450
Value per 1 Pip(Point) - HKD 1
NB: Even though general and overall trend is in general move upward, as a stock index trader you've got to factor in daily market price volatility, on some days the index may oscillate or even retrace, market pull back might also be substantial sometimes and hence as the trader you need to time your entry strictly using this strategy: Stock Index trade strategy and at the same time use the proper & suitable money management guidelines & methods just in case of unexpected volatility in the market movement. About money management principles in index topics: What is equity management & equity management system/plan.
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