What is GDAXI30 Strategy? - Guide to Trade GDAXI30 Index
Germany GDAXI30 Chart
Germany GDAXI30 trading chart is shown & displayed above. On the above example this instrument is named GDAXI 30CASH. As a trader you want to find a broker that provides Germany GDAXI30 chart so that you can start to trade it. The Indices example shown above is that of Germany GDAXI30 Stock Indices on MT4 Forex and Stock Index Software.
Strategy to Trading Germany GDAXI30 Stock Index
Germany GDAXI30 Stock Indices is made up of blue chip stocks that trade in Frankfurt Bourse selected from best performing sectors in Germany; hence a good stock index trade strategy to trade Germany GDAXI30 Index is to trade long most times. This is because generally the best stocks in Frankfurt Bourse will generally keep heading up & up because the companies behind these stocks are the best and most lucrative companies in Germany.
Germany GDAXI30 Stock Indices is also reviewed a few times a year so that if one Indices is not doing well then it is replaced with another blue chip Indices that is doing good. This ensures that most of the times Germany GDAXI30 Index will keep going up.
As a trader you want to be biased & keep buying as the stock index moves upward. When German economy is doing well (most times it is doing well) this upward trend is more than likely to be ruling. 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 begin to report lower profits and lower growth prospect. It is because of this reason that investors begin to sell stocks of companies that are reporting lower profits and hence Stock 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 index that you are trading.
Contracts and Specs
Margin Requirement Per Lot - € 85
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 might move in a range or even retrace & pull-back, the Stock Indices 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: strategy and at same the time use proper equity management principles just in case there is more unexpected volatility in the market. About equity management methods in Indices lessons: What's Stock iindices equity money management & Indices equity management strategies.