SMI20 Index

SMI20 Index or Swiss Market Index 20 is a market indices that keeps track of top 20 firms in Six Swiss Exchange in Switzerland. This 20 stocks illustrated represent the blue chip stocks in the 6 Swiss Exchange Market - these are also the most traded stocks in this Stock Index exchange.

SMI Trade Chart - What is SMI20?

SMI 20 Chart

SMI20 chart is illustrated and displayed above. On above example this Index is named SWI20CASH. As a trader you want to find a broker that provides SMI20 chart so that you as a trader can begin to trade it. The example Which is illustrated above is that one of SMI20 Stock Index on the MT4 FX and Software.

Other Info about SMI20 Index

Official Index Symbol - SMI:IND

The 20 constituent stocks that make up SMI20 Index are picked from the top firms in France. The 20 stocks constitute majority of the trade turnover volume in SIX Swiss Exchange Market. The calculation is reviewed yearly.

Strategy for SMI20 Index

SMI20 Stock Index tracks capitalization of top 20 corporations in Switzerland. This Index in general moves upward over longterm because the Swiss economy also shows strong growth. Swiss economy also has one of the strongest banking system in the globe - making Swiss economy one of the most solid economy.

As a trader you want to be biased and keep buying as the stock index moves upwards. When the Swiss economy is performing well most of these top stocks will continue to move up & hence this index will also move in an upwards trend. A good stock index trade strategy would be to keep buying and buy the market dips.

During Economic SlowDown and Recession

During economic slowdown & recession times, corporations start to report lower profits and lower growth prospect. It is due to and because of this reason that traders start to sell stocks of corporations that are posting and recording lower profits and hence the Indices tracking these given stocks will also begin to go & move downwards.

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

Contracts & Details

Margin Required Per 1Lot - CHF 100

Value per Pips - CHF 0.5

NB: Even though general and overall trend is generally moves upwards, as a trader you've to consider & factor in the daily market volatility, on some of the days the Indices may move in a range or even retrace & pull back, market pullback/retracement move might also be a large one at times and therefore you as a trader you need to time your entry strictly using this trading strategy: strategy and at the same time use proper and appropriate money management guidelines and techniques just in case there's unexpected market trend volatility. About equity management strategies/methods. in indices topics: What is Index equity management and Index equity management methods.

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