Nikkei225 Index

The Nikkei 225 Index is a market indices for Tokyo Bourse in Japan. This Stock Index tracks the stocks of top 225 companies displayed in Tokyo Stock Exchange Market.

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NIKKEI225 Chart

The NIKKEI 225 chart is displayed & shown above. On above example the index is named JP225CASH. As a trader you want to find an online broker that provides NIKKEI 225 chart so that you as a trader can begin to trade it. The Indices example laid-out above is of NIKKEI 225 Index on MT4 FX TradeTrading Platform.

Other Details about NIKKEI 225 Index

Official Indices Symbol - NKY:IND

The 225 components stocks which constitute NIKKEI 225 Indices are chosen from the best performing Japanese companies. The NIKKEI 225 share index is closely followed as an indicator of the performance of the Japanese businesses. The calculation of this Stock Index is a simple formula based on the market capitalization.

Stock Indices Trading System for Trading NIKKEI 225 Index

The NIKKEI 225 Index shows relative movement of the top 225 stocks in Japan. Because this stock index tracks 225 companies it'll be more volatile when compared to an index like Germany DAX30 that only tracks 30 companies.

As a trader wanting to trade this stock index, this stock index is generally more volatile & the trend for this stock index although in general moves upward over a long time it will have more oscillations than other Stock Index. Your strategy should factor in more volatility when trading this index.

When the Japanese economy is performing good (most of the times it's performing good) this upwards market trend is more likely to be the one ruling. A good index strategy would be to buy price dips.

During Economic Slow-Down and Recession

During the economic slowdown and recession periods, corporations start and begin to report slower profits & lowers growth projection. It is due to and because of this reason that investors begin to sell stocks of companies which are announcing lower profits & therefore Indices tracking these particular given stocks will also start to go downward.

Hence, during these times, trends are much more likely to be heading & moving downward and you as a trader should also adjust your strategy accordingly to suit the prevailing downwards trends of the index which you as a trader are trading.

Contract Specifications

Margin Requirement for 1 Lot - JPY 90

Value per Pip - JPY 0.1

Note: Even though general and overall trend is generally move 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 & retracement, the Indices market retracement move may also be a substantial one at times & therefore as a trader you need to time your trade entry strictly when using this strategy: indices strategy & at the same time use proper/appropriate money management strategies and guidelines just in case there is more unexpected volatility in the market. About indices money management rules courses: What is money management guidelines/principles & equity money management strategies.

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