Exness is a forex trading platform that offers a variety of trading instruments to its clients. One of the most popular trading instruments on Exness is the Volatility 75 Index. In this article, we will delve deeper into what the Volatility 75 Index is and how traders can make profits by trading it.
What is the Volatility 75 Index?
The Volatility 75 Index is a synthetic index that measures the volatility of the S&P 500 index. The S&P 500 index consists of 500 large-cap companies listed on US stock exchanges. The Volatility 75 Index is calculated based on the implied volatility of the S&P 500 index options. It is also known as the Fear Index because it measures the market’s fear and uncertainty.
How to Trade the Volatility 75 Index on Exness?
To trade the Volatility 75 Index on Exness, you need to open a trading account and deposit funds. Once you have funded your account, you can access the trading platform and select the Volatility 75 Index from the list of trading instruments. You can then place a buy or sell order based on your trading strategy.
There are many trading strategies you can use to trade the Volatility 75 Index. One popular strategy is to use technical analysis to identify support and resistance levels. You can also use fundamental analysis to analyze the economic and political factors that affect the S&P 500 index.
Benefits of Trading the Volatility 75 Index:
Trading the Volatility 75 Index on Exness has several benefits. Firstly, it is a highly liquid instrument, which means that you can easily enter and exit trades. Secondly, it is a highly volatile instrument, which means that it offers high profit potential. However, it also poses a higher risk of loss, so you need to manage your risk carefully.
Risks of Trading the Volatility 75 Index:
The Volatility 75 Index is a highly volatile instrument, which means that it can be unpredictable and risky. It is important to have a solid trading plan and risk management strategy in place before trading this instrument. You should also be aware of the potential for high losses, and only trade with funds that you can afford to lose.
The Volatility 75 Index on Exness is a popular trading instrument among traders who seek high profit potential. However, it is also a highly risky instrument that requires careful risk management. By understanding the fundamentals of the Volatility 75 Index and implementing a sound trading strategy, you can make profits in the volatile market conditions.