Trade Stock Indices

SWI 20 Index

SWI 20 or Swiss Market Stock Index 20 is a stock market index that keeps track of top 20 companies in Six Swiss Exchange in Switzerland. This 20 stocks listed represent the blue chip stocks in the Six Swiss Exchange Market - these are also the most traded stocks in this stock exchange.

How to Trade SWI20 Index Trade System - SWI20 Stock Indices Trading Systems

The SWI 20 Trade Chart

The SWI 20 trade chart is displayed and illustrated above. On the example above this Index is named as SWI20CASH. As a trader you want to find a broker that provides this SWI 20 trade chart so that you can start to trade it. The stock example shown above is of SWI 20 on the MT4 Software.

Other Trading Information about the SWI 20 Index

Official Symbol - SWI20:IND

Broker

The 20 components stocks that makes up SWI 20 are picked from the top companies in France. The 20 stocks make up most of the trading turnover volume in the SIX Swiss Exchange Market. The Index calculation is reviewed yearly.

Indices Trading System for SWI 20 Stock Index

SWI 20 tracks the capitalization of top 20 companies in Switzerland. This index generally moves up over longterm because the Swiss economy also shows strong growth. The Swiss also has one of the strongest banking system in the world - making Swiss one of the most reliable economy.

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

During Economic SlowDown and Recession

During economic slowdown and recession times, companies start to report lower profits and lower growth prospect. It is due to this reason that traders start to sell stocks of companies reporting lower profits and therefore the stock index tracking these particular stocks will also begin to move downwards.

Therefore, during these times stock index trends are likely to be heading downward and as a trader you should also adjust your strategy accordingly to suit the prevailing downwards trends of the stock market index that you are trading.

Contracts Specifications

Margin Required Per 1 Lot - CHF 100

Value per 1 Pips - CHF 0.5

NB: Even though the general trend is generally upward, as a trader you have to factor in the daily market volatility, on some days the stock index might oscillate or even retrace, stock index market retracement might also be significant at times and therefore as a trader you need to time your entry precisely using this trading strategy: Stock indices trading strategy & at same time use proper money management rules just in case of more unexpected volatility in the market trend. About stock index trading money management rules topics: What is stock index money management & index trading money management strategies.