Trade Stock Indices

SMI 20 Index

SMI 20 or Swiss Market Index 20 is a stocks market index that keeps track of the top 20 corporations in Six Swiss Exchange in Switzerland. This 20 stocks/shares shown represent the blue chip shares & stocks in 6 Swiss Bourse - these are also the most liquid stocks in this bourse.

SMI Strategies - SMI Strategy

SMI 20 Chart

SMI 20 chart is shown & displayed above. On the example above this is known as as SWI20CASH. You want to find a broker who provides SMI 20 Index chart so that as you can begin to tradeit. The example Which is displayed above is that of SMI 20 on MT4 Forex Software.

Other Info about SMI 20 Index

Official Index Identifier - SMI:IND

SMI20 includes 20 stocks picked from France's top companies. These shares cover most trade volume on the SIX Swiss Market. The index updates each year.

Strategy for SMI 20 Index

SMI20 follows the market value of the top 20 companies in Switzerland. This stock index usually increases over time because the Swiss economy also shows strong and steady growth. Switzerland also has one of the strongest banking systems worldwide, making the Swiss economy one of the most reliable and stable.

As an index trader, stay positive and buy more as the index climbs higher. A healthy Swiss economy boosts top stocks and shares, so the index trends up too. The smart strategy is to keep buying and grab opportunities on dips.

During Economic Slow-Down & Recession

When the economy slows and recessions occur, companies start to announce that their income, earnings, and growth are not as good. Because of this, investors start to get rid of stocks from companies that are not making as much money, so indexes that track these stocks also go down.

Thus, during these phases, market trends are considerably more inclined to proceed downward, and as a trader, you ought to make corresponding adjustments to your operational strategy to accommodate the prevailing downward trajectory of the stock index you are currently transacting.

Contracts and Details

Margin Requirement for 1 Lot/Contract - CHF 100,

How Much per Point - CHF 0.5

Note: Even though the general trend is usually upward, stock index traders need to be aware of how much the market changes each day. There will be days when the index stays within a certain range or drops back a lot. It's important to choose the right time to enter trades using your trading plan and to use good money management skills to deal with unexpected changes in the market. About courses on how to manage money when trading indexes: What are equity management and money management techniques?

More Lessons & Courses:

Stock Indices Broker