What's AS 51 Index Trading System? - Learn AS 51 Index
The AS 51 Chart
AS 51 trading chart is illustrated and shown and illustrated above. On the above example illustration this financial instrument is named AS 51CAS. As a trader you want to find a broker that provides AS 51 chart so that you as a trader can begin to trade it. The example That is illustrated above is that of AS 51 Indices on MT4 FX Platform Software.
Trading System for Trading AS 51 Indices
AS 51 Indices will in general move upwards because shares prices always move upwards over time. This Stock Index in general moves upwards over long-term because the Australia economy also shows strong growth backed up by their mining sector/industry that has got great reserves of & other valuable commodities.
As a trader wanting to trade this stock index, the index will move upward faster when the Australian economic indicators show accelerated economic growth.
As a stock index trader you want to be biased and keep on buying as the index heads and moves upward. When the Australian economic environment is performing & doing well (most of the times it is doing well) this upward trend is more than likely to be the one that is ongoing. A good Indices trading strategy would be to keep buying and buy the dips.
During Economic Slow-Down & Recession
During the economic slowdown recession times, corporations start to report lower earnings and lowers growth projection. It is due to this reason that investors start to sell stocks of companies that are reporting & posting lower profits & hence Indices tracking these specified stocks will also start and begin to move downwards.
Therefore, during these times, market trends are a lot more likely to be going downward and you as a trader should also adjust your trading strategy accordingly to suit the prevailing downward trends of the index which you are trading.
Contract Specifications
Margin Requirement for 1 Lot - AUD 70
Value per Pips - AUD 0.1
Note: Even though general and overall trend is generally moves upwards, as a trader you've got to consider and factor on daily market price volatility, on some of the days the Indices might move in a range or even retrace and pull back, the market pullback/retracement move might also be a significant one at times & hence you as the trader you need to time your trade entry strictly using this trade strategy & at same the time use suitable/proper money management techniques/guidelines just in case there is unexpected volatility in the market. About money management guidelines and techniques in Indices topics: What is money management guidelines and techniques & equity management strategies/methods.
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