HK 50 Index
HK 50 tracks stock market capitalization of top 50 corporations that are shown on the Hong Kong Stocks Market. The firms illustrated are also chosen and selected from the most profitable economic sectors in Hong Kong.
HK 50 Chart
HK 50 chart is displayed & shown & displayed above. On example laid-out above this is named as HK50CASH. As a trader you want to find a broker that provides HK 50 chart so that as you as a trader can begin to trade it. Index example illustrated above is that of HK 50 on MetaTrader 4 Software.
Other Info about HK 50 Index
Index Symbol - HSI:IND
The 50 constituent stocks which constitute HK50 are chosen from the top performing firms in Hong Kong. The 50 stocks constitute majority of the overall total trade turnover volume in the Hong Kong Stocks Market. The firms displayed on this index represent a total of 60%market capitalization of all the securities displayed & shown in the Hong Kong Stocks Market.
Index Trade System for HK 50 Index
HK 50 which keeps track of the capitalization of the top 50 companies in Hong Kong. This index generally moves upwards over the longterm but it's more volatile in its trend movements. When compared to other indices like EUROSTOXX & DAX30 indices which have lower volatility in their trend movements, this index has wider and more volatile swings in its trend movements.
Over a long period of time this stock index will in general move up, as a trader you want to be biased & keep buying as the stock index moves upward.
A good index trade strategy would be to keep buying and buy the market dips - though as a trader wanting to trade this stock index, be prepared for much wider swings in trading this index.
During Economic Slow-Down and Recession
During economic slow-down & recession times, corporations begin to report lower profits & lower growth prospects. It is because of this reason that traders begin to sell stocks of corporations that are posting & recording lower profits & hence stock index monitoring & keeping track of these specific stocks will also start to move & head downwards.
Hence, during these market times, the market trends are much more likely to be going downwards and 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 Specs
Margin Requirement Per 1 Lot - HKD 450
Value per 1 Pip(Point) - HKD 1
NB: Even though general trend is in general move upwards, as a stock index trader you've got to factor in daily market volatility, on some days the stock index may move in a range or even pull-back, market retracement/pullback might also be significant some times & hence you as a trader you need to time your entry precisely using this trading strategy: Stock Index trade strategy and at the same time use proper and appropriate money management rules & guidelines just in case of more unexpected volatility in the market trend. About equity management guidelines & techniques courses: What's equity management & index equity management strategies/methods.
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