HK50 Index
HK50 Index tracks market capitalization of top 50 firms that are shown on Hong Kong Stocks Exchange Market. The companies shown are also chosen from the most lucrative economic sectors in Hong Kong.
HK50 Chart
HK50 Stock Indices trade chart is shown and illustrated above. On the above example this Stock Index is named HK 50CASH. As a trader you want to find a broker that provides HK50 chart so that you can begin to trade it. The example That is illustrated above is that of HK50 Stock Index on MT4 FX Trading Software.
Other Information about HK50 Stock Indices
Official Indices Symbol - HSI:IND
The 50 component stocks that makes up the HK50 Stock Indices are selected from top companies in Hong Kong. The 50 stocks make up most of the total trading turnover volume in the Hong Kong Stock Exchange Market. The companies shown on this index represent a total of 60%market capitalization of all securities shown in Hong Kong Stock Exchange Market.
Stock Indices Trade System for Trading HK50 Index
HK50 Index tracks capitalization of top 50 firms in Hong Kong. This Index in general moves upwards over long-term but it is more volatile in its trend movements. When compared to other indexes such as EURO STOXX & DAX30 which have lower volatility in their trend movements, this index has wider swings in its trend movements.
Over a long period of time this stock index will in general moves move upward, as a trader you want to be biased and keep buying as the stock index moves upward.
A good index trade strategy would be to keep buying the dips - though as a trader wanting to trade this stock index, be prepared for generally much wider swings when it comes to trading this stock index.
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 index that you are trading.
Contract Specifications
Margin Requirement Per Lot - HKD 450
Value per Pips - HKD 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 money management rules courses: What's Stock iindices equity money management & indices equity management strategies.
