FRA40 Stock Index
FRA40 Index is a France Market Stock Index that keeps track of performance of top 40 largest stocks in Euronext Paris Bourse. This Index tracks capitalization of top 40 stocks included.
FRA40 Chart
FRA40 trading chart is shown & displayed above. On the above example this Index is named FRA 40CASH. As a trader you want to find a broker that provides FRA40 Index trading chart so that you can begin to trade it. The example That is shown above is that of FRA40 Indices on MetaTrader 4 Forex Trading Platform.
Other Information about FRA40 Stock Indices
Official Stock Indices Symbol - FRA 40:IND
The 40 component stocks that makes up the FRA40 Stock Indices are selected from top companies in France. The calculation is revised quarterly.
Trading System to Trading FRA40 Index
FRA40 Index tracks capitalization of top 40 firms in France. This Index in general moves upwards over long-term because French economy also shows strong growth.
As a trader you want to be biased and keep buying as the stock index moves upward. When French economy is doing well most of these top stocks will continue to move up and hence this stock index will also move in an upward trend. A good stock index trade strategy would be to keep buying the dips.
During Economic Slow-Down and Recession
During economic slow-down & recession times, firms start to report lower profits & lower growth prospect. It is because of this reason that investors start to sell stocks of companies that are reporting lower profits & hence Indices tracking these specified stocks will also start to move downward.
Therefore, during these times, market trends are likely to be moving downward & you as a trader should also adjust your strategy accordingly to suit the prevailing downwards trends of the stock index that you're trading.
Contract Specifications
Margin Requirement Per Lot - € 40
Value per Pips - € 0.1
Note: Even though general trend is generally moves upwards, as a trader you have to consider and factor in daily market volatility, on some of the days the Stock Indices may move in a range or even retrace and pull-back, the market retracement move may also be a significant one at times and hence as a trader you need to mark-time your trade entry precisely using this trade strategy: Stock strategy and at same the time use proper equity management principles just in case there is more unexpected volatility in the market. About stock indices equity management guidelines courses: What's Stock Index equity money management & indices equity management strategies.