About Mini and Micro Futures
E-Mini and Micro E-mini futures are electronically traded futures contracts. While E-Mini futures are small, Micro E-mini futures are a fraction of an E-Mini contract, checking in at up to 1/10th the size of a mini contract.
Like other futures, these are standardized contracts for the purchase and sale of financial instruments or physical commodities on a regulated futures exchange, for future delivery.
Orient Futures Singapore offers several such futures such as E-mini-Nasdaq-100 Futures from CME or Mini US Dollar Index® Futures from ICE SG (Refer to the full list of product listings here). These smaller-sized contracts grant traders more flexibility in managing their risks and enable better situating of leveraged investments.
To further understand the contracts and uses of a mini-future, this post will elaborate on and explain 5 Things to Know About Mini Futures:
1. Contract specifications of Mini-Futures
Mini Futures
Mini Futures have differing contact sizes based on the contract multiplier. For example:
1) CME offers E-mini-Nasdaq-100 futures, which have a contract size of $20 x Nasdaq-100 Index.
2) Alternatively, CBOT offers E-mini-DOW futures, which have a contract size of $5 x DJIA index.
The trading hours of the above-mentioned contracts are Sunday 6:00 p.m. – Friday – 5:00 p.m. ET (5:00 p.m. – 4:00 p.m. CT) with a daily maintenance period from 5:00 p.m. – 6:00 p.m. ET (4:00 p.m. – 5:00 p.m. CT).
Micro E-Mini Futures
Similarly, Micro E-mini was introduced to the market in 2019, and it follows a similar structure:
1) Micro E-Mini Nasdaq-100 Index contracts have a contract size of $2 x Nasdaq 100 Index.
2) While Micro E-Mini DOW futures have a contract size of $0.50 x DJIA index.
The trading hours of the above-mentioned contracts are Sunday through Friday, 5:00 pm. CT to 4:00 p.m. CT, contract months are March, June, September, and December, lastly, the termination of trading is at 9:30 a.m. ET on the 3rd Friday of the contract delivery month.
2. Types of Mini-Futures
Finding the correct mini futures to trade can be difficult as each contract is unique and subjected to its own value and changes. Yet, trading with a mini contract is advantageous due to its highly liquid nature, lower margins, and cheaper pricing.
Hence, to trade, it is important to research and choose the appropriate contract. For micro/mini futures, there are 2 main types of contracts. The first are index futures (based on an underlying index), and the second, are commodities and base metals mini futures, such as copper, gold, oil, and gas.
As noted in the contract specifications above, the value of future contracts is priced such that the smallest investments can be made. Overall, regardless of the choice of mini futures, it allows for reduced financial commitment.
3. Our Membership Exchange’s Mini-Futures
Currently, Orient Futures offer futures from the following exchanges:
CBOT, CME, DGCX, HKEX, ICE SG, COMEX, NYMEX, JPX, and SGX-DT
Among our exchange memberships, mini futures are also offered by ICE SG including:
1) Mini US Dollar Index® Futures,
2) Mini US Dollar/Singapore Dollar Futures,
3) Mini US Dollar/Offshore Renminbi Futures,
4) Mini Brent Crude Futures (100BBL),
5) Mini Low Sulphur Gasoil Futures (10mt),
6) Mini WTI Crude Futures.
Orient Futures Singapore is also a member of SGX-DT, which offers 10-Year Mini JGB futures.
4. Monitoring Status and Trade
Keeping track of mini futures can be done through a variety of platforms. Currently, Orient Futures Singapore offers trading platforms such as TT, CQG, Stellar, and ATP for futures, or MT5, Maxx trader, and Stellar for forex.
All the above platforms allow traders to develop and implement strategies while keeping track of technical indicators.
More importantly, mini futures or micro e mini contracts are also a good way to assess the market and gain experience in new products as they will always mirror the performance of the corresponding futures contract. For example, if the price of WTI Crude Futures increases, the price of Mini WTI Crude Futures will also increase. This will help traders to make better decisions on their next trade.
5. News and Events
In some of the most recent news, it is reported by investors that Dow Jones futures rose 0.45% vs. fair value. S&P 500 futures climbed 0.5% and Nasdaq 100 futures advanced 0.65%.
Apart from the general positive increment for the various futures, on macroeconomic and global news, Bloomberg records that Europe gas prices also continue to leap as Russia keeps the main pipeline shut. The concerns on gas prices have also drawn attention from various other sources such as the guardian and associated press, which highlight the tension between OPEC or allied oil-producing countries and their unhappiness with crude prices that have sagged because of recession fears.
Lastly, other than news and events, for a full array of information regarding micro futures and options, CQG has also compiled a list of components in a “Quote spreadsheet for monitoring Micro E-Mini Options” accessible here.
Start Trading With Orient Futures Singapore
Being an Overseas Intermediary of Shanghai International Energy Exchange (INE), Dalian Commodity Exchange (DCE), and Zhengzhou Commodity Exchange (ZCE), when foreign clients participate in internationalised futures contracts in these Chinese markets with us, they have direct access to trading, clearing, and settlement. Our parent company, Shanghai Orient Futures, is the largest broker in terms of aggregated volume across the five regulated exchanges in China.
Orient Futures Singapore also currently holds memberships at the Singapore Exchange (SGX), Asia Pacific Exchange (APEX), and ICE Futures Singapore (ICE SG).
We provide premium customer service at an affordable cost to all our clients. Our team will be there for you 24 hours on trading days to provide a one-stop portal for all your trades, with simple processes and an intuitive user interface that has low or near-to-zero latency.
