Germany GER30 Stock Index
GER30 represents Germany's Market Stock Index of top Blue Chips Stocks. This Index represents Top 30 Most Traded Stocks that are traded in Frankfurt Stocks Market. Because Germany is the largest economy in Euro-Zone, the GER30 Stock Index is one of the most popular Index traded by investors.
Just like currencies, Germany GER30 Stock Index also has a chart representation & the chart can be traded and analyzed by traders. Traders can place a buy or sell order & trade this stock index using standard lots.
Germany GER30 Chart
Germany GER30 Stock Indices trading chart is illustrated & shown above. On above example this instrument is named GER 30CASH. As a trader you want to find a broker that provides Germany GER30 chart so that you as a trader can begin to trade it. The Indices example shown above is of Germany GER30 Stock Indices on MT4 Software.
Other Info about Germany GER30 Indices
Indices Symbol - GDAXI
The 30 constituent stocks that constitute Germany GER30 Index are reviewed couple of times every year to determine if to make changes to this composition or not. Stocks that aren't performing well might be replaced with other stocks that are doing well.
Stock Indices Trade System for Trading Germany GER30 Index
Germany GER30 Index is made up of blue chip stocks that trade in Frankfurt Stock Exchange selected from best performing sectors in Germany; hence a good index trade strategy to trade Germany GER30 Index is to trade long most times. This is because generally the best stocks in Frankfurt Stock Exchange will generally keep heading up & up because the firms behind these stocks are the best and most lucrative firms in Germany.
Germany GER30 Index is also reviewed couple of times every year so that if one Stock Indices isn't doing well then it's replaced with an alternative blue chip Stock Indices that is doing good. This ensures that most times Germany GER30 Index will keep heading upwards.
As a trader you want to be biased & keep buying as the stock index moves upwards. When German economy is performing good (most of the times it's performing good) this upward trend is more likely to be in place. A good stock index trade strategy would be to keep buying the dips.
During Economic Slow-Down & Recession
During economic slow-down and recession times, corporations start to report lower profits and lower growth prospect. It's due to this reason that traders start to sell stocks of firms that are reporting lower profits and hence Indices tracking these specified stocks will also begin to move downward.
Hence, during these times, trends are likely to be moving downwards & you as a trader should also adjust your trading strategy accordingly to suit the prevailing downward trends of the stock index that you are trading.
Contract Specs
Margin Requirement Per Lot - € 85
Value per Pips - € 0.1
Note: Even though general trend is generally move upwards, as a trader you've to consider and factor in daily market volatility, on some of the days the Indices may move in a range or even retrace & pull-back, the market pullbackretracement move may also be a substantial one at times and hence as a trader you need to mark-time your entry precisely using this trading strategy: index trading strategy & at same time use proper money management guide-lines just in case there's more unexpected volatility in the market trend. About stock index money management guidelines courses: What's index equity management and index equity management strategies.
