NQ Tick Value, Point Value, and Margin: The Sizing Math

Before you place a single trade on NQ, you need this math cold. Not approximately — exactly. The difference between a 10-point stop and a 15-point stop isn't abstract when it's your money moving.

This is the complete reference for NQ and MNQ tick value, point value, and how to translate those into real dollar risk on any trade.

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NQ and MNQ Contract Specifications

| Specification | NQ (Full) | MNQ (Micro) | |---|---|---| | Exchange | CME Globex | CME Globex | | Underlying | Nasdaq 100 Index | Nasdaq 100 Index | | Tick Size | 0.25 points | 0.25 points | | Tick Value | $5.00 | $0.50 | | Point Value | $20.00 | $2.00 | | Intraday Margin (approx.) | ~$18,250 | ~$1,825 |

Both contracts move in 0.25-point increments. The only difference is the dollar value per tick.

On NQ: every 0.25-point tick = $5. Four ticks = one full point = $20.

On MNQ: every 0.25-point tick = $0.50. Four ticks = one full point = $2.

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Quick Reference: Move Size to Dollar Value

| NQ Move (Points) | NQ (1 Contract) | MNQ (1 Contract) | |---|---|---| | 5 | $100 | $10 | | 10 | $200 | $20 | | 20 | $400 | $40 | | 25 | $500 | $50 | | 50 | $1,000 | $100 | | 75 | $1,500 | $150 | | 100 | $2,000 | $200 | | 200 | $4,000 | $400 |

These figures are per contract. Trading 3 MNQ contracts on a 50-point move = $300, not $100. Always multiply by your contract count.

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Stop Loss Sizing: From Dollars to Points

Formula: Points of stop = Dollar risk ÷ (Point value × Contracts)

On NQ ($20/point):

| Dollar Risk | Contracts | Stop Distance | |---|---|---| | $100 | 1 NQ | 5 points | | $200 | 1 NQ | 10 points | | $400 | 1 NQ | 20 points | | $500 | 2 NQ | 12.5 points |

On MNQ ($2/point):

| Dollar Risk | Contracts | Stop Distance | |---|---|---| | $20 | 1 MNQ | 10 points | | $50 | 1 MNQ | 25 points | | $100 | 5 MNQ | 10 points | | $200 | 5 MNQ | 20 points |

The correct process: your stop location is determined by structure — where price would need to reach to invalidate your setup — not by how many dollars you feel like risking.

1. Identify the structural stop level (below a swing low, above a swing high, beyond the FVG boundary)
2. Calculate the point distance from entry to that level
3. Determine how many contracts you can trade given that stop distance and your daily risk limit

If the structure says your stop needs to be 30 points away, but your account only supports a 10-point stop at your preferred size, you have two choices: reduce contracts, or skip the trade. Never widen a stop to fit more size.

For the full risk management framework: NQ Futures Risk Management and Position Sizing.

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Real Session Example: NY Open Range

On a typical morning, NQ's range from the 9:30 AM ET open to roughly 10:00 AM ET spans 30 to 50 points. On volatile sessions — major news, FOMC week — it can reach 80 to 100 points.

30-point NY open range:

• 1 NQ contract: $600 potential range
• 1 MNQ contract: $60
• 5 MNQ contracts: $300

50-point NY open range:

• 1 NQ contract: $1,000 potential range
• 1 MNQ contract: $100
• 5 MNQ contracts: $500

You're rarely capturing the full range — a well-executed LS Model setup targets a defined portion of the move with a structural stop and a structural target. But this gives you a sense of the actual dollar opportunity per session at different position sizes.

For more on how the NY session window produces these moves: NQ Futures Session Times: When to Trade NAS100.

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Margin: What the Broker Requires

| Contract | Intraday Margin (approx.) | Overnight Margin (approx.) | |---|---|---| | NQ | ~$18,250 | ~$25,000+ | | MNQ | ~$1,825 | ~$2,500+ |

These figures vary by broker and change with volatility. Always check your broker's current rate schedule.

If you're day trading — closing all positions before the session ends — intraday margin applies. Overnight margin is higher and kicks in if you hold positions past the cutoff.

Margin is not your risk per trade. It's the capital tie-up required to hold the position. Your actual per-trade risk is calculated from stop distance and contract size, as shown above.

For a full breakdown of how these numbers translate to practical trading: What Is NQ Futures? and NQ vs MNQ: Which Contract Should You Trade?.

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A Sizing Workflow Before Every Trade

1. Identify the setup. Where's your entry? Where does the trade fail?
2. Mark the stop. Structural invalidation point — not a round number, not a comfortable distance.
3. Measure stop distance in points. Entry minus stop (for longs), stop minus entry (for shorts).
4. Apply your dollar risk limit. The LS Model uses 1% of account per day as a maximum.
5. Calculate max contracts: Dollar risk ÷ (stop points × point value)

Example: $10,000 account, $100 daily risk, 15-point stop, trading MNQ ($2/point):

• $100 ÷ (15 × $2) = $100 ÷ $30 = 3.3 → 3 MNQ contracts maximum

Run this before every trade.

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Related: NQ vs MNQ: Full vs Micro Contract · NQ Futures Risk Management and Position Sizing · What Is NQ Futures?

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Trading futures involves substantial risk of loss. Past performance is not indicative of future results. This content is for educational purposes only and is not financial advice.