Micro E Mini Futures Contract Explained

People with smaller budgets will look to micro e mini futures contract opportunities. These are contracts of major stocks, but just a fraction of it.

But, how do e mini futures contracts work? Below, we cover what they are, and the benefits of using futures chat rooms.

What are E-Mini Futures Contracts?

Electronically traded futures contracts that track the value of an underlying financial asset are called E-mini futures contracts. The “mini” refers to the smaller futures contract size than the traditional futures contract.

They offer traders the ability to:

  • Speculate on the future price movements
  • Hedge against potential losses
  • Take advantage of arbitrage opportunities between different markets.

How to Trade Micro E Mini Futures Contract?

Trading Micro E-mini futures contracts is similar to trading other futures contracts but for a much lower price. That’s why many ask “How much is micro e mini futures contract?” to see that they have enough starting capital.

The basic steps for trading are:

  • Open a brokerage account
  • Learn the basics of futures trading
  • Develop a trading plan
  • Monitor market conditions
  • Place your trade
  • Monitor your trade

Micro E Mini Futures Brokers Comparison

When choosing a Micro E Mini Futures Broker, things to consider include:

  • Commissions
  • Trading platform features
  • Educational resources
  • Customer support

After taking note of this, find out which brokers will meet your needs and support your trading goals.

Futures Chat Room Benefits and Tips

Chat rooms offer a wealth of information. The benefits of joining one range from receiving real-time market information to trading insights, ideas, and learning opportunities. The Global Trading Sofate Discord group has over 1000 active traders and it is free. Join HERE

Remember to do your research to ensure that you’ll get value from it. Also, contribute to the conversation by sharing your own insights and ideas.

Understanding Mini Futures Contracts

Now, let’s elaborate with a how to trade e-mini futures example:

  • You buy a mini futures contract on gold of 5 ounces.
  • Each point movement in the price of gold represents a $0.50 gain or loss in the value of the contract.
  • The current price of gold is $1,700 per ounce.
  • If the price of gold rises to $1,750 per ounce, the value of your contract would increase by 25 points. However, if the price of gold falls to $1,650 per ounce, the value of your contract would decrease by 25 points.


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