Are there more risks with indices?

There are various options with indices and you can select the one you want to trade. I prefer NASUSD.

 

I’ve read that the companies with higher share prices get higher weightage with indices, is that true?

 

All I can say is that there is no harm in working on risk management at an earlier stage. Why wait till your account is at the edge of the cliff and then act. Having a proper risk management planned for your trades is the way to go. At least, that’s what I believe. Correct me if I’m wrong.

 

Can’t argue with that logic. How much do you risk per trade?

 

A few indexes are price-weighted.
https://en.wikipedia.org/wiki/Price-weighted_index

 

A good starting point you say?! I actually started with forex trading.

 

Thanks for the link

 

I’m not so much of an indices person but I’ve heard they can be profitable. I’ve traded demos with Xm and recently opened a live account with Fxview. The spreads are good with them.

 

For a better and safe trade, I generally don’t risk more than 2% of it. Been doing alright with this figure so far.

 

I try not to go beyond 1% of my trades. I suppose it differs for different levels of traders.