DJI 30 Industry Average Indices or Dow 30 Stock Index - Wall Street 30 Stock Index

DJI 30 Industry Average Indices or Dow 30 Stock Indices is a market indices that keeps track of 30 of the largest stocks in USA. The stocks that are used in calculating these components are selected from 30 largest corporations in USA.

DJI 30 is the most liked & most followed Indices globally. The DJI30 Industry Average traditionally kept track of the performance of Industrial stocks but has changed to also include stocks from other economic sectors of the over-all economy. The main criteria being the stocks chosen are from the largest America companies.

DJI 30 is more volatile than most of the other Top Indices, The DJI 30 though will over longterm trend upward it'll have more price retracements and more consolidations than other Stock Index. Traders may prefer to trade other indexes other than the DJI 30 Industry Average if they are more used to trading more stellar trends which are found on other top indices.

What is DJI 30 Indices Trading? - DJI 30 Index Defined

DJI30 Chart

DJI 30 trading chart is displayed & shown above. On the above example illustration this financial instrument is named DJI30CASH. As a trader you want to find a broker that provides DJI 30 chart so that as you as a trader can start to trade it. The example Which is illustrated & shown above is the one of DJI 30 Stock Index on MT4 Forex Platform.

Other Info about DJI 30 Index

Indices Symbol - DJI

The 30 component stocks that constitute DJI 30 Stock Index are selected from top performing US corporations. The calculation of this stock index is however different compared to other Stock Index: the price constituent/component of these 30 stocks is sub-divided by a common divisor function so that to come up with this stock market index. This makes this stock index more volatile than other indices.

Strategy to Trading DJI 30 Stock Index

DJI 30 Index formula of calculating makes Dow 30 index more volatile & hence there are wider and more volatile swings in the price movement of this stock index. Although this stock index in general moves upward over long term because US economy also shows strong growth & is also the biggest economy in the world.

As a trader wanting to trade this stock index, be prepared for wider price swing and a little more volatility.

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

During Economic Slow-Down & Recession

During economic slowdown and recession periods, corporations start to report lower earnings and lowers growth projection. It's due to this reason that traders begin to sell stocks of firms that are posting & reporting lower profits & hence Indices tracking these given stocks will also begin moving and heading downward.

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

Contracts and Specs

Margin Requirement Per 1 Lot - $150 dollars

Value per Pips - $ 0.5

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 pullback move might also be a large one at times and hence you as a trader you need to time your trade entry strictly using this trading strategy & at same time use the appropriate & proper and suitable money management techniques and guidelines just in case of unexpected volatility in the market trend. About equity management methods/guidelines in Stock Indices lessons: What's index equity management and Indices money management plan.

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