Trade Stock Indices

What is AEX-25 Trade Strategy? - Tutorial to Trading AEX 25 Stock Index

What is AEX 25 Strategies? - Tutorial to Trade AEX 25 Index

AEX 25 Trading Chart

AEX 25 chart is shown and illustrated above. On the example above this Stock Index is named as NETH25CASH. As a trader you want to find a broker that provides this AEX 25 trading chart so that you can start to trade it. The example That is shown above is that of AEX 25 on the MetaTrader 4 Forex Software.

Strategy to Trading the AEX 25 Stock Index

AEX 25 tracks the capitalization of top 25 firms in Netherlands. This index in general moves moves up over long-term because the Netherlands economy also shows strong economic growth.

As a trader you want to be biased & keep buying as the stock index moves up. When the Dutch economy is doing well most of these top 25 stocks will continue to move up & hence this index will also move in an upward trend. A good stock index trade strategy would be to keep buying the dips.

During Economic SlowDown & Recession

During economic slowdown and recession times, firms start to report lower profits and lower growth prospect. It is because of this reason that investors start to sell stocks of companies reporting lower profits and therefore the index tracking these particular stocks will also start to move downwards.

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

Contracts and Specifications

Margin Required Per One Lot - € 5

Value per 1Pip - € 0.1

NB: Even though the general trend is generally moves upwards, as a trader you have to factor in the daily market volatility, on some days the index might move in a range or even retrace, stock market retracement may also be significant at times and therefore as a trader you need to mark-time your trade entry precisely using this trade strategy: stock index trading strategy & at same the time use proper equity management guidelines just in case of more unexpected volatility in the market. About equity management guidelines in stock index tutorials: What's stock index equity money management and stock index equity money management methods.

Get More Topics and Lessons:

Forex Seminar Gala

Forex Seminar

Stock Indices Broker