My account size is arnd 10K, trading YM with 20tick stop on each trade limits how many trade i can do to keep my Daily loss around 150-200. If i can find something that has lower tick value i might be able to adjust my trading strategy better.
not to mention - is it liquid? contracts with wide bid-ask (or prone to a lot of slippage) are no bargain.
Both comments are correct but the OP wanted to know the contracts with ticks under $5. The exchanges will let you know the 'volatility' of a contract by the required margin.
Thank you so much guys... it really helps.. I replied some with "Quote" options wonder why they do not show up here... sorry if i PM's accidentally..
Consider the STIR (short term interest rate) futures at Euronext-LIFFE. For example the EuroSwiss contract ( http://bit.ly/azpzXk ) has a minimum tick of 25 Swiss Francs, approx USD 26.12, and over the last twelve months its high-low range has been less than fifty ticks. It moves slowly and smoothly compared to other futures. Set up your software to calculate the 100-day ATR, convert that from points to dollars, and print it out. Run this on a list of 150 or 200 futures contracts all around the world. You'll find that the STIRs come out at the very bottom; a one-lot position in STIRs has lower dollar volatility than other futures contracts.