An index or indices is a way of gathering sentiments about the overall market, giving you an
indication of whether you are in a bull or bear market. You can trade indices rather than just stocks
giving you exposure to every company quoted on that index since there is a wide variety of
companies quoted on the major indices.
Some indecis includes: Dow Jones, Nasdaq and S&P (US) DAX and CAC (Europe)
Hang Seng, Nikkei and ASX (Asia-Pacific). Most of these are calculated using a
capitalisation-weighted average, which means the size of each company is taken into account. The
more a particular company is worth, the more its share price will affect the index as a whole.
Take advantage of our services
on web based platform and mobile applications.
Explore the most famous market
on financial world. Trade different
pairs of currencies.
There is plenty of choises
for you to trade. Explore the other 4 products
and get the best of our services.
Be part of our trading accademy,
learn how to trade and start making money.
Why trading Indices?
More available leverage than trading shares - The leverage possible with Index future contracts
creates a profitable environment for even trades of a few percent index gain.
Less technical analysis - investors are able to spend more time on analyzing one chart, then
trying to screen through thousands of stocks for the right company
High liquidity - The highly liquid market also creates tighter spreads which translates into less
money spent per transaction.
No need to screen stocks for fundamental data - A lot of time is saved from not having to
analyze financial reports. The trader will spend most of his time looking at the big picture and
overall market sentiment."
L I V E I N D I C E S P R I C E S
Why trade indices
• Competitive spreads
• Over 20 Indices from all over the World: USA, Germany, China
• Ability to go short or long
• No overnight cost for holding open position for next day
• Leverage up to 200:1
• Trading apps for each device
SEE A REAL EXAMPLE
ASX 200 JUN15 Future
Australia 200 Cash
Buy at 5501.5
1 standard contract
Equals A$25 per point
Margin = Number of contracts x value of one contract
x index level (mid price) x margin rate (0.5%)
1 x A$25 x 5,501 x 0.5% = A$687.63
What happens next?
The market rallies dramatically, moving up 149 points by 4.50pm, when
funding is calculated. It drops back a little overnight, down 10 points from
4.50pm the previous day.
Funding = (One-month bank bill swap rate + 2.5%) x (size of position) / 360 (1.9% + 2.5%) x (5,650 x A$25) / 360 = $17.26
5639.5 / 5640.5
Sell at 5639.5
Overall market movement & profit/loss
5639.5 – 5501.5 = 138
Each contract is worth A$25
per point (so A$25 x 138 points)
Gross profit = A$3,450
1-point KRONOSINVEST spread (included above)
Funding cost: A$17.97
A$3,432.74 net profit subject to tax
If the market dropped 139 points instead (with a spread of 1 point):
(-139-1) x (A$25) - A$17.26
Net loss = A$3,517.26
WE HAVE YOUR BACK
24/5 phone and live chat trading
24 hours a day, from 8am Saturday
to 10pm Friday (GMT)
Go through our courses and all the
training materials, according to your
Customer Support over the phone
Training sessions and proffesional
assistance over the phone for VIP
WE HAVE YOUR BACK
KRONOSINVEST is an international
trading services and facilities
for all trader categories: the
Scalper, the Day Trader, the
Swing Trader, the Position
Through its policy of providing
the best technical and fundamental
analysis done by our
experts and experienced financial
advisors, giving unrestricted
access to its liquidity,
KRONOSINVEST has position itself
as one of the best trading
MT4 IOS Trader
MT4 Android Trader
Trading Account Types
Advantages of forex trading
What influences exhange rates?
The golden tool of Forex
10 tips for a successful start
Mission & Vision
Our customers say
8.9 out of 10 based on 2,743 reviews
© 2019 KRONOSINVEST Ltd | All rights reserved.