CAC 40 Index

The CAC 40 Index is a France Stock Market Index that tracks the performance of the top 40 largest stocks in the Euronext Paris Bourse. This index tracks the capitalization of the top 40 stocks included.

The CAC 40 Index Chart

The CAC 40 Index chart is shown above. On the example above this Index is named as FRA40CASH . As a trader you want to find a broker that provides this The CAC 40 Index chart so that you can start to trade it. The example above is of CAC 40 Index on the MetaTrader 4 Forex & Indices Trading Platform .

Other Information about CAC 40 Index

Official Symbol - CAC:IND

The 40 component stocks that make up the CAC 40 Index are picked from the top companies in France. The Index calculation is reviewed quarterly.

Strategy for Trading CAC 40 Index

The CAC 40 Index tracks the capitalization of the top 40 companies in France. This index generally moves up over the long term because the French economy also shows strong growth.

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

Contracts and Specifications

Margin Required Per 1 Lot - € 40

Value per 1 Pip - € 0.1

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