IT40 Indices

IT40 index tracks top 40 most traded stocks in Borsa Italiana - Italian Stocks Market. This Index is also referred to as the Italian 40 Stock Index. The 40 stocks included in this index are selected from most traded stocks from the most profitable industries in the Italian economy.

IT40 Strategy PDF Download

IT40 Chart

IT40 chart is illustrated and shown above. On the above example illustration this financial instrument is named IT40CASH. As a trader you want to find a broker that provides IT40 trading chart so that as you as a trader can start to trade it. The example Which is illustrated & shown above is the one of IT40 Stock Index on MT4.

Other Info about IT40 Stock Indices

Official Indices Symbol - IT40

The 40 component stocks that constitute IT40 Stock Indices are selected from top performing Italian companies that are most lucrative. These stocks are also chosen from the most profitable industries in Italian economy.

Strategy to IT40 Index

IT40 index in general moves upward over longterm because stocks picked for this particular index represent the best sectors within the Italian economy and therefore this stock index is likely to keep heading upwards as these sectors most of the times will be doing booming business.

As a trader wanting to trade this Stock Index, you want to be biased toward upward trend direction of this Stock Index.

As a trader you want to keep on buying as the index heads & moves upwards. When Italian economy is performing good (most times it's performing good) this upward market trend is more than likely to be in place. A good Indices trading strategy would be to keep buying and buy the dips.

During Economic Slow-Down and Recession

During economic slowdown and recession periods, companies start to report slower profits and lowers growth projections. It's due to this reason that traders start to sell stocks of firms that are recording and reporting lower profits and hence Indices tracking these specified stocks will also start and begin to move downwards.

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

Contract Specs

Margin Requirement for 1 Lot - € 250

Value per Pips - € 1

Note pips value of IT 40CASH is € 1 compared & analyzed to the pip value of the other indices such as Germany DAX & EURO STOXX whose size of one pip per lot is € 0.1 - However, the average pips movement for this index is much lower as when compared to other indexes such as DAX30 & EURO STOXX.

Note: Even though general and overall trend is generally moves upwards, as a trader you've 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 market retracement move might also be a big one at times and hence you as the trader you need to time your trade entry strictly using this strategy: Stock strategy & at same time use the appropriate/proper money management guidelines/methods just in case of unexpected market trend volatility. About stock index money management guidelines & techniques courses: What's index equity management & stock index equity management strategies/methods.

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