Ticks, points - what am I missing??

Discussion in 'Index Futures' started by trader56, Nov 21, 2007.

  1. Ok, it's late and I'll admit this is a dumb question, but my brain just doesn't seem to be getting this one. (Hopefully, I' ll wake up tomorrow and slap my forehead for being so thick right now!)

    The S&P trades where:
    1 tick = .05 points
    So, 20 ticks = 1.00 points
    At $25 per tick, this is $500 per point, right?

    Now, todays' daily range for the S&P 500 Index was 1419.28 to 1452.64. This is 33.36 POINTS, right?

    So, the dollar value of this range is:
    $500 per point X 33.36 points = $16,680, right?

  2. The ES, which is the e-mini contract, trades in .25 increments @ $12.50/tick and there are 4 ticks in 1 point. One point equals $50.

    If you are talking about the pit contract, no idea so sorry if this is not what you were looking for.
  3. Thanks for thr reply - that actually answered another question I had.

    Ok, I'm reading West of Wall Streeet by Barry Haigh (again), and also Live the Dream by Gary Smith.

    In Gary's book, the S&P (early 90's ) was in the 400's apparently. He talks about a "200 point stop," BUT when I look at the chart examples, that "200 points" is price going from, say, 400.00 to 402.00.

    So technically, this is 2 points, or 40 ticks, but he's CALLING IT 200 "points."

    This sound right?

    Can yuo give me a similar example for the e-mini using these numbers where price is going from 400.00 to 402.00?
    With the e-mini, this would then be a move of $100 ($50 per point), right?

    Thanks again,
  4. 400.00 to 402.00 is a two point gain for you, or $100 per contract. A 20 lot trade long from 400.00 and covered at 402.00 would be a $2000 trade for you.

  5. Thank yuo, Brownsfan and Swordsman!

    I did figure out what Gary Smith is doing - he's calling every .01 change a "point." So using his terminology, going from 400.00 to 402.00 is a 200 point change. This is what he meant by a "200 point stop."

    This would be 40 ticks on the full-sized S&P contract, but only 8 ticks on the e-mini, right?