What Is Synthetic Indices?
Synthetic indices is just like any other market just that it is a simulated market, meaning it is not a real market, it just acts as one.
It is created to resemble a real market and also manoeuvred in a way it cannot be affected by real life events or changes in the economy that can relatively make the market liquid.
Unlike trading coins and currencies which are assets, in synthetic indices, indexes like; volatility, steps and jump indexes are traded.
Such type of market have significant leverage and a tight spread which allows you to increase your market exposure and reward at the same time skillfully limiting your risk of loss.
Synthetic indices can be traded at anytime. That is, the market is opened for 24/7
It is mainly traded on a platform called Deriv. There are 6 major markets traded on Deriv platform, they include;
• Volatility indices.
• Crash and Boom indices.
• Step indices.
• Range break indices.
• Daily reset indices.
• Jump indices.
How to trade synthetic indices
You can trade these indices on Deriv mt5, DerivX, Dtrader, DerivGo, etc.., Before registering a genuine account, it is crucial that you first create a free Demo account and begin practising your approach.