Max leverage for SP500 & NASDAQ

[qwerty11]

I'm on IBKR, max 6x leverage.

No, it's higher for SP500 & NASDAQ...

 

[maxinger]

Max leverage for SP500 & NASDAQ

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Max leverage for ES & NQ

 

[TheMordy]

Some brokers have $500/contract intraday margin for NQ.

A 1% move in NQ now would be ~154 pts. x $20 = $3,080 with 1 contract.
At $500 margin per contract that's a 616% gain with max leverage.

So the NQ futures are 616x leveraged, if I understood and calculated right.
Which means a 1% loss will be 616x as well.
With a $500 margin, a 0.16% move in the wrong direction would blow my position.
How do you trade such an instrument ? Any specific risk management features for futures ?

 

[BKR88]

So the NQ futures are 616x leveraged, if I understood and calculated right.
Which means a 1% loss will be 616x as well.
With a $500 margin, a 0.16% move in the wrong direction would blow my position.
How do you trade such an instrument ? Any specific risk management features for futures ?

Just because a broker allows 1 contract per $500 doesn't mean you should trade with that amount of leverage.
You wanted a 1% move to give you a 30% profit so if you have ~$10,000 in the account for every contract of NQ then a 1% move will give you ~30% return.

NQ moves 1% (154 pts.) x $20 (1 contract) = $3,080 profit.
$3,080 / $10,000 = 30.8% return with a 1% move.
You mentioned 2% risk management. That would be a $200 Stop Loss (10 pt. for NQ)with 1 contract per $10,000.

***MNQ (micro-futures) are 1/10 the size of NQ with the same chart so you could use that until you figure out the appropriate position size until you're comfortable.