What is NAS100 on Exness?

What is NAS100, And Why Trade With it?

The NASDAQ100, or NAS100 index, comprises the leading 100 firms on the Nasdaq exchange, excluding financial stocks. It features notable names like Amazon, Alphabet, and Apple.

The current market cap of each company determines weight distribution. Consequently, analysts use its performance to measure investor sentiment and the state of the tech industry. If it is down, it indicates the tech industry is not doing well or that investor confidence is low.

Why Trade With The Nas100?

There are numerous reasons why you would want to invest in the NAS100. Some of them are:

Diversification

The NAS100 gives you instance diversification in your portfolio. You spread your risk to 100 stocks, which insures you against the impact of a sudden drop in one stock.

Exposure To The Lucrative Tech Sector

The NAS100 is an investment in the tech sector. Technology stocks are known to outperform the market, increasing your chances of making a profit.

High Liquidity

Low liquidity can expose you to high slippage. Investing in the NAS100, amongst the most liquid globally, minimizes your slippage.

Exposure To Volatility

Technology stocks are traditionally some of the most volatile. A delayed product launch or a sudden drop or increase in quarterly profits can cause substantial price movements. You can take advantage of this upward and downward movement when that happens.

Does Exness Offer NAS100?

Yes. You can trade the NAS100 on Exness under the ticker USTEC. Here are the steps to find it.

1. Download and install the MT5 platform
2. Open the MT5 platform and click on the dollar symbol.

3. Click on the Indices folder and search for “USTEC”

Access to the index can vary based on your account type. However, no matter which type of account you use, there are some common features that you will come across:

Trading hours

The trading hours for the USTEC index are Sunday 22:05 to Friday 20:00, with a daily break from 20:59 to 22:05. All times in GMT+0.

How to Trade The NAS100 Index On Exness?

To begin trading the NAS100 on Exness, follow this guide:

1. Create an Exnesss Account

Go to the Exness home page to create your account. Click “Register” to begin the process. You should be through in a few minutes.

2. Pick An Account Type

Once you have registered your Exness account, choose an account type that closely matches your trading goals. Your account type will determine under which conditions you can trade the NAS100.

3. Deposit Funds

Once Exnesss verifies your account, you can deposit money. You will find many payment options in Exness, which can be different for people in different regions of the world.

4. Download A Trading Platform

Proceed to download your preferred trading platform in the “My Accounts” tab by clicking on the “Trade” button. The popup window will display all the trading platforms that are available to you.

5. Find The NAS100

Once you enter the trading platform, search for the NAS100, which is called the USTEC on Exness. Click on it and begin trading.

6. Start Trading

Make a careful analysis of the features of the platform and begin trading. You should execute trades on the NAS100 after a thorough analysis.

7. Monitor Your Trades

Once you execute a trade, carefully monitor it. You can use the trading features on the platform to minimize your risk in each trade.

Strategies When Trading NAS100

You can use many strategies to maximize your profits. Below are some of them.

Technical Analysis

You can use technical analysis to find the best price points to enter or leave a trade. It entails using different technical indicators such as the RSI and moving averages. You can then predict the future price of the NAS100 and place your trade based on your prediction.

Fundamental Analysis

Fundamental analysis entails staying informed on macroeconomic events that impact the NAS100. For instance, check out the earnings data of specific stocks, geopolitical events, and economic data.

Economic Calendars

Keep track of the latest economic events by checking out economic calendars. Major events often cause major movements in the NAS100. For instance, job reports can impact the index.

Active Hour Trading

The NAS100 is active during regular trading hours in the US. As a trader, you should ensure that your trading hours align when the US stock markets open and close.

Study Educational Material

Trading the stock market is complex, and you learn something new each day. You can improve your knowledge and become a great trader by continuously reading about trading strategies and joining online trading communities.

Range Trading

This strategy entails picking a specific range in which to trade the NAS100. Technical indicators can help you identify support and resistance levels for your specific range. In this strategy, you will buy low and sell high once the price reaches the support and resistance levels.

Trend Following

This entails identifying the prevailing trend and following it. It will involve technical analysis to determine whether the index is moving up or down, looking for an entry opportunity and an exit point.

Breakout Trading

In this strategy, you must carefully look out for major price movements when the NAS100 breaks out of a consolidation. During a consolidation, the price movement is minimal. Pick a point above the resistance level and buy or sell just below the support level as a breakout occurs.

News Trading

Another great strategy is to watch out for upcoming economic events. Based on the expected news, the index could go up or down. To make the most of the event, trade in the direction of the news and ensure you employ tight risk management.

Scalping

Scalping entails making small profits from small movements. The time frames can be one minute or five minutes long. It involves rapid entry and exit from trades to capture these small gains.

Algorithmic Trading

This strategy requires some coding knowledge. You can use automated trade execution to determine when to enter and exit a position. On Exness, experienced traders can use the API to execute algorithmic trading.

Managing Risk

To make consistent profits as a stock trader, you must watch out for greed and use solid information to make your decisions. A great tool that will prove invaluable in doing this is the stop loss order.

Final Words

If you choose to invest in the NASDAQ100, you will enjoy the numerous benefits listed above. For example, it will allow you to minimize the risk of single-stock trades. It will also allow you to gain exposure to the technology industry, which includes tech giants like Amazon.

Always thoroughly back-test your strategies to make the most out of your trades. Keep in mind that no strategy is guaranteed to succeed. Consequently, you will require discipline, good risk management, and consciously updating your knowledge of the trading world to stay ahead.