What is UsTec100 Strategy? - Learn UsTec100 Stock Index
US TEC 100 Chart
UsTec100 chart is displayed & shown above. On above example this Stock Index is named USA 100CASH. As a trader you want to find a broker that provides UsTec100 chart so that as you as a trader can start to trade it. The example Which is illustrated above is the one of UsTec 100 Indices on MetaTrader 4 Software Platform.
Strategy to Trading US TEC 100 Stock Indices
UsTec100 Indices technique of calculating makes it more volatile and hence there are wider and more volatile swings in the price movement of this Stock Index. The index has got a weighting component for each Index included on this stock index. Although this stock index in general moves upward over long term because US economy also shows strong growth.
As a stock index trader you want to be biased and keep on buying as the index heads and moves upwards. When USAUS economy is performing good, the stocks that constitute UsTec 100 Stock Index will keep gaining in values and thus this index is likely to keep heading in an upward trend. A good stock index trading strategy to trade this Index would be to keep buying and buy the dips.
During Economic Slow-Down & Recession
During the economic slowdown recession times, companies begin and start to report slower profits & lowers growth projection. It's due to this reason that traders begin to sell stocks of firms that are recording 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 strategy accordingly to suit the prevailing downward trends of the index which you as a trader are trading.
Contract Specs
Margin Requirement Per Lot - $30
Value per Pips - $0.1 dollars
Note: Even though general and overall trend is generally move upward, as a trader you've to consider and factor on daily market price volatility, on some of the days the Indices may move in a range or even retrace and pull back, the Indices market pullback/retracement move might also be a significant one at times and hence you as a trader you need to time your trade entry strictly using this strategy: strategy & at the same time use proper/appropriate money management guidelines and rules just in case there is more unexpected volatility in the market trend. About money management guidelines and methods in indices lessons: What's indices equity management & indices money management strategies.
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