GLOSSARY · CONTRACTS & MONEY
What is Point?
A point is a one-unit move in a futures price, made up of several ticks.
Traders often talk in points rather than ticks because points are easier to read on a chart. How many ticks make a point depends on the contract.
Point value is simply tick value × ticks per point.
EXAMPLE
ES has 4 ticks per point, so one point = 4 × $12.50 = $50. NQ: 4 × $5 = $20 per point. A 10-point stop on NQ risks $200 per contract.
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