What is US Tec 100 Trade Strategy? - Learn UsTec100 Index
The UsTec100 Trade Chart
The UsTec100 trade chart is displayed and illustrated & shown & displayed above. On the example put on display above this index is named as US100CASH. As a trader you want to find a broker that provides UsTec 100 trade chart so that as you as a trader can start to trade it. Example displayed above is of UsTec 100 on MT4 Software.
Trade Strategy for US TEC 100 Index
US TEC 100 recipe of calculating it makes it more volatile and therefore there are much more wider swings in the price movement of this index. The stock index has got a weighting component for each stock included on this index. Although this index generally moves upward over the long-term because US economy also shows strong and robust growth.
As a trader you want to be biased and keep buying as the stock index moves upwards. When the America economy is doing good, stocks which constitute the UsTec100 Stock index will keep gaining in values and thus this stock index is likely to keep moving in an upwards trend. A good indices trade strategy to trade this Index would be to buy dips.
During Economic Slow-Down and Recession
During economic slow-down & recession times, companies start to report lower profits and lower growth prospects. It is due to this reason that traders start to sell stocks of companies which arereporting lower profits and therefore index tracking these particular stocks will also start to move downward.
Hence, during these times stock index trends are likely to be moving downwards & as a trader you should also adjust your trade strategy accordingly to fit the prevailing downward trends of the stock market stock index that you're trading.
Contracts Details
Margin Requirement for 1 Lot - $ 30
Value per 1 Pip(Point) - $ 0.1
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 might oscillate or even retrace, index market pull back may also be substantial sometimes and therefore as a trader you need to time your entry precisely using this strategy: trade strategy and at the same time use proper money management principles just in case of more unexpected volatility in the market movement. About money management principles in indexes topics: What's index equity management & stock indexes money management methods.
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