Trade Forex Trading

Germany DAX 30 Index

The DAX30 represents Germany's Market Index of the top Blue Chip Stocks. This Stock Index represents Top 30 Most Liquid and Traded Stocks which are transacted in Frankfurt Stocks Market. Because Germany is the largest economy in EuroZone, the DAX 30 Index is one of the more popular Index transacted by investors.

Just like currencies, the Germany DAX 30 Stock Index also has a chart representation & the chart can be transacted & analyzed by traders. Traders can open a buy or sell order and trade this stock index using standard lots.

Germany 30 Stock Indices - Ger30 Chart

The Germany DAX 30 Chart

The Germany DAX30 chart is displayed and shown and shown above. On the above example illustration this financial and trading instrument is named GER 30CASH. As a trader you want to find a broker that provides Germany DAX30 chart so that you as a trader can begin to trade it. Example shown & displayed above is of Germany DAX30 Indices on MT4 FX Trade Platform.

Other Details about Germany DAX30 Stock Index

Official Symbol - DAX:IND or GDAXI30

The 30 components stocks which constitute Germany DAX 30 Index are re-evaluated few times each year to figure out if to make changes to this composition or not. Stocks which are not doing well may be replaced with other stocks which are doing/performing well.

Strategy for Trading/Transacting Germany DAX30 Stock Index

The Germany DAX 30 Index is made up of blue chip stocks which trade in Frankfurt Bourse selected from the top performing sectors in Germany; therefore a good indices trading strategy to trade Germany DAX30 Index is to trade long majority of the times. This is because generally the best stocks in Frankfurt Stock Exchange Market will in general keep heading and moving up & up this is because the companies & corporations behind these stocks are among some of the best and most lucrative companies in Germany.

The Germany DAX30 Index is also revised few times each year so that as if one Index isn't doing good then it's replaced with an alternative blue chip Indices that's doing good. This ensures that majority of the times Germany DAX30 Stock Index will keep going upwards.

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

During Economic Slow-Down and Recession

During the economic slowdown and recession periods, corporations start and begin to report slower earnings, slower profits and lowers growth projections. It is due to and because of this reason that investors start to sell stocks of companies which are reporting lower profits and therefore Indices tracking these particular given stocks will also begin to move downward.

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

Contracts and Specifications

Margin Requirement for 1 Lot - € 85

Value per Pip - € 0.1

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

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