Module 1F: Futures Foundations · Lesson 3 of 13 · Back to Futures Foundations · Course
What you’ll learn
- what “micro” and “mini” mean
- why contract size matters more than the market you pick
- how micros let you size risk sensibly
- why a prop account’s contract limit is usually quoted in minis
Standard, mini and micro
CME Group lists several sizes of the same market. For US stock indices, the E-mini (ES, NQ) became the main contract, and in 2019 CME launched Micro E-mini contracts that are one tenth the size (CME Group, Micro E-mini FAQ, checked 18 October 2026). Oil and gold have micro versions too (MCL and MGC), also one tenth of the standard contract.
| Market | Mini / standard | Micro | Ratio |
|---|---|---|---|
| S&P 500 | ES – $50 per point | MES – $5 per point | 10 : 1 |
| Nasdaq-100 | NQ – $20 per point | MNQ – $2 per point | 10 : 1 |
| WTI crude oil | CL – $10 per tick | MCL – $1 per tick | 10 : 1 |
| Gold | GC – $10 per tick | MGC – $1 per tick | 10 : 1 |
Source: CME Group contract specifications, checked 18 October 2026.
Why size matters more than the market
Most beginners spend their time choosing a market or a setup. But the decision that decides whether a bad day is survivable is how many contracts, of which size.
Say your stop on the Nasdaq-100 is 40 points away (hypothetical):
- 1 NQ: 40 × $20 = $800 at risk.
- 1 MNQ: 40 × $2 = $80 at risk.
If your planned risk per trade is about £60 (roughly $80 at £1 = $1.30, illustrative), only the micro fits. With the mini, a single normal loss would be ten times your plan. That’s the whole lesson of the 1% rule, applied to futures.
Micros give you finer control
Because micros come in small steps, you can size a position closely to your risk. Need $150 of risk on a 6-point MES stop? Each MES contract risks 6 × $5 = $30, so 5 contracts = $150. With ES, one contract already risks $300 – you can’t go smaller.
See 1F.8 Futures position sizing in ticks for the full method.
When do minis make sense?
- When your account and risk per trade are large enough that 10 micros would be the same as 1 mini. Commissions are charged per contract, so one mini is usually cheaper than ten micros.
- Liquidity is excellent in both MES and ES, so for most beginners there’s no practical liquidity reason to use minis.
Contract limits in prop accounts
Prop firms usually cap how many contracts you can hold. Many quote the limit in minis and treat micros at a ratio (often 10 micros = 1 mini), but each firm sets its own rule. Check the firm’s current rules page before you trade, and never size up to the maximum just because it’s allowed. See 1F.10 Futures prop rules.
Key takeaways
- Micros are one tenth the size of minis: MES $5 per point vs ES $50.
- Contract size, not market choice, decides how much a normal loss costs.
- Micros let you match your position to your planned risk.
- Prop contract limits vary by firm – check the current rules.
Quick check
- What is a 20-point move worth on 1 ES and on 1 MES?
- Your stop is 10 points on MES and you want to risk $100. How many contracts?
- Why might a larger trader prefer 1 ES to 10 MES?
Answers: 1) ES $1,000; MES $100. 2) 10 points × $5 = $50 per contract, so 2 contracts. 3) Lower commission per unit of exposure, since fees are charged per contract.
FAQs
Can I trade micros on a prop account?
Most futures prop firms allow micro contracts, but rules differ. Check the firm’s current rules.
Are micros a “beginner” product?
They’re the same market at a smaller size. They don’t make trading safer – they just let you risk less per trade.
Disclaimer: This page is general education, not financial, investment or tax advice or a personal recommendation, and it doesn’t take your circumstances into account. Examples are hypothetical, for illustration only, and not an invitation to buy or sell. Learning to trade doesn’t guarantee profits. Past performance is not a reliable guide to future results. Futures, spread bets and CFDs are complex and carry a high risk of losing money quickly because of leverage, and most retail traders lose money. With a real futures account, losses can exceed your deposit. Prop firm challenges are paid evaluations: the fee is usually lost, and funded accounts are usually simulated. Prop firm rules vary between firms and change often, so check each firm’s current rules. Only trade with money you can afford to lose, and speak to an independent FCA-authorised adviser if you’re unsure. Contract specifications, market hours and margin concepts were checked against CME Group on 18 October 2026 and can change. Read our full risk warning.