Help Calculating Index Futures daytrading Profits

unclebond555 · Mar 9, 2012

I don't trade futures but I want to know if someone can explain to me how much someone made if they say that they traded the S&P Futures Eminis -

They traded 5 contracts and made 13 points in one day .
How much did the 5 contracts cost and How much did they need to have in their account ? How much profit did they make ?

Thanks

FroggerMan · Mar 9, 2012

12.5 per tick * 5 contracts * 13 ticks = 812.5

here is the cme fee schedule http://www.cmegroup.com/company/files/CME_Fee_Schedule.pdf

wiesman02 · Mar 9, 2012

He said points not ticks

12.5 x 5 x 52 (13 points x 4 ticks / point ) = $3,250 / day not including commission.

rwk · Mar 9, 2012

As FroggerMan states, gearing is $50/point, and the e-mini S&P500 trades in quarter points (i.e. ticks). The minimum margin (i.e. performance bond) requirement is set by the exchange, but brokers can require more. It looks like the margin is currently $5k: http://www.cmegroup.com/clearing/margins/#e=CME&a=EQUITY+INDEX&p=ES

uptickk · Mar 9, 2012

Quote from unclebond555:

I don't trade futures but I want to know if someone can explain to me how much someone made if they say that they traded the S&P Futures Eminis -

They traded 5 contracts and made 13 points in one day .
How much did the 5 contracts cost and How much did they need to have in their account ? How much profit did they make ?

Thanks

Just wanted to throw it out there that 13 points a day is pretty ambitious.

unclebond555 · Mar 9, 2012

Ok ... So if its $50 per point and you have 5 contracts plus 13 points

Thats 50 x 5 x 13 = $3250

So are you saying that all you need is $5000 in your account to trade with 5 contracts ?

Thanks

uptickk · Mar 9, 2012

Quote from unclebond555:

Ok ... So if its $50 per point and you have 5 contracts plus 13 points

Thats 50 x 5 x 13 = $3250

So are you saying that all you need is $5000 in your account to trade with 5 contracts ?

Thanks

Depends on your broker. Some charge $5k per contract and some charge $500 per contract intraday.

tomahawk · Mar 9, 2012

Quote from unclebond555:

I don't trade futures but I want to know if someone can explain to me how much someone made if they say that they traded the S&P Futures Eminis -

They traded 5 contracts and made 13 points in one day .
How much did the 5 contracts cost and How much did they need to have in their account ? How much profit did they make ?

Thanks

It's possible they made 0 profit if that was 13 pts. gross, and they did 163 round turns with 5 contracts each.

samiotis · Mar 9, 2012

Quote from unclebond555:

I don't trade futures but I want to know if someone can explain to me how much someone made if they say that they traded the S&P Futures Eminis -

They traded 5 contracts and made 13 points in one day .
How much did the 5 contracts cost and How much did they need to have in their account ? How much profit did they make ?

Thanks

here is a site S&P E-mini or S&P 500 Futures Contract Explained

http://www.neweratrader.com/Resources/the-sap-e-min.html

rwk · Mar 9, 2012

Quote from unclebond555:
Ok ... So if its $50 per point and you have 5 contracts plus 13 points
Thats 50 x 5 x 13 = $3250

So are you saying that all you need is $5000 in your account to trade with 5 contracts ?
Thanks

Almost ... It's $5k per contract. But that can change with little notice. Also, your broker will get alarmed if you put a large portion of your account value at risk. I would not recommend going much over 20-25%. If you get an adverse move, you will have to come up with more cash FAST, or your broker will dump your position at a big loss. Leverage is why people say it is so risky to trade futures and options.