Taking the leap from crypto to futures trading is a significant improvement and proof of adaptability we can implement as traders. Over the years, we have witnessed how many trading platforms have limited their services to major countries such as the United States, Canada, and the United Kingdom, just to name a few. As traders, we understand the need to adapt to the constant changes in the financial markets.
Knowing the available options to trade Bitcoin and other Futures-related assets is essential to staying competitive. This is where we start looking for solutions that offer stability for long-term trading. The futures market is regulated and centralised, and its contracts are standardised, facilitating trading and providing greater transparency.
Futures Contract Specifications
We are already very familiar with trading Bitcoin and Altcoins on exchanges like Bybit, but when we move from crypto to futures trading, we need to master a few fundamentals.
Futures are financial contracts to buy or sell a specific underlying asset at a future date. These stock futures contracts set known upfront prices, have expiration dates and are organised by month. We usually use the contract with the nearest expiration date to trade as it has the most trading activity.
The standardised contract month codes ensure uniformity across the exchanges, making it easier for traders to locate the right tickers and engage in international trading without confusion.
Contract Month Codes in Futures Trading
When trading futures, understanding contract month codes is crucial. These codes are standardised across exchanges, ensuring that traders can easily identify and trade contracts worldwide.
Each code represents a specific month and simplifies the process of selecting the appropriate futures contract.
Below is a breakdown of the standard contract month codes:
A micro Bitcoin futures contract expiring in January 2025 would be represented with the code/ticker “MBTF5” and would be as follows:
- MBT: Micro Bitcoin
- F: January code
- 5: Year 2025 – last digit
An S&P 500 Futures contract expiring in September 2025 would be represented with the code “ESU5”:
- ES: E-mini S&P500
- U: September code
- 5: Year 2025 – last digit
The E-mini Nasdaq-100 Futures contract expiring on March 2025 would be represented with the code “NQH5”:
- NQ: E-mini Nasdaq-100
- H: March code
- 5: Year 2025 – last digit
Futures Quarters Codes
When trading the ES Futures, each year, there are four different contract codes, one per quarter and will be as follows:
- ESH
- ESM
- ESU
- ESZ
How Tick Movements Works in Futures Trading
Each ES-mini contract is valued at $50 × the index price, while each ES-micro contract is $5 × the index price.
For example, with an index price of 5000 points, one ES-mini contract represents a nominal value of $250,000. On the other hand, holding 10 ES-mini contracts would amount to a nominal position of $2,500,000.
- One contract of ES-mini is $50 x index price.
- One contract of ES-mini is $5 x index price.
In futures trading, traders only need to open a fraction of the contract’s total value. Typically, the margin requirement is around $400 for an ES-mini contract and $50 for an ES-micro contract, with price movements measured in ticks.
Here is how the tick movement works:
- 1 point equals 4 ticks.
- Each tick is worth $12.50 for an ES-mini and $1.25 for an ES-micro.
- A 1-point move in the ES-mini results in a $50 profit or loss per contract.
Where to trade Futures?
Fortunately, there are several options depending on how we want to manage our capital. We can create self-funded accounts through brokers like AMP Futures or access additional capital to trade through prop firms like TopStep, as long as we have the right skills.
Generally, prop firms require you to pass an evaluation account to access a funded account. Each evaluation account has strict rules that traders should follow to demonstrate their skills and profitability. We encourage you to do your research, as the fee structure and profit-sharing vary by firm.
AMP Futures
AMP Futures is a brokerage firm that offers low-cost trading services in the futures market. It accesses major global futures exchanges and a wide range of trading platforms, such as MetaTrader 5, ATAS, Quantower, TradingView, Sierra Charts, and others.
AMP Futures offers one of the most competitive commission rates, robust customer support, and the possibility of setting up a free demo account to practice and test your strategies.
Through AMP Futures, we can access the stock and futures markets and the data feed package needed to trade. The most popular data feed packages are CQG or Rithmic.
The minimum account balance is $100 for live trading and data feed usage.
In terms of funding, AMP Futures accepts Cheques, ACH and Wire transfers.
TopStep
TopStep is a proprietary firm offering diverse assets, including the ES and NQ micros, Crude Oil, Gold, Micro Bitcoin, and more. We use a Two-Step evaluation process through the Trading Combine and Funded account to demonstrate our trading skills and risk management.
- The trading combine account is a simulated trading environment in which you must meet profit targets and implement proper risk management to be approved for a Funded account.
- Successful traders receive firm capital from the funded account to trade live markets.
Access their memberships with various account sizes and evaluation plans catering to all risk appetites and trading styles.
Apex Trader Funding
Apex is a proprietary firm that offers the opportunity to trade firm capital after passing an evaluation process. Like other prop firms, every trader must complete a two-step evaluation to demonstrate their trading abilities and risk management skills.
- Evaluation Accounts (Eval): simulate a trading environment to assess a trader’s skill and risk management abilities. To qualify for a funded account, the trader must meet profit targets within a specified period.
- Performance Accounts (PA): a live trading environment where successful traders have access to trade firm capital, earn real profits with a favourable profit split and continue to follow strict risk management rules without a fixed duration.
With Apex, you have the chance to select between two data feeds: Rithmic (which can be integrated into ATAS or Quantower) and Tradovate (which can be integrated into NinjaTrader or TradingView)
Data Feed Services
A data feed is a service that provides traders and investors with a continuous stream of real-time data on market prices, trading volumes, and other financial metrics.
This data can include trade prices, bid and ask prices, and other market activity from various exchanges, such as the Chicago Mercantile Exchange (CME), New York Stock Exchange (NYSE), NASDAQ, London Stock Exchange (LSE), and cryptocurrency exchanges.
Data feeds are crucial in futures trading. They help make informed trading decisions by providing metrics, conducting market analysis, and efficiently executing trades.
Data feeds can be integrated into our preferred trading platform through an API or used with their specialised software.
CQG (Commodity Quote Graphics)
CQG provides high-performance trading, real-time and historical market data, and technical analysis tools for futures, options, and fixed-income traders. It’s known for its reliability, speed, and accuracy.
CQG offers comprehensive market data from global exchanges and supports a wide range of instruments, including futures, options, cash, and forex.
Rithmic
Rithmic provides high-performance trading and market data services with low-latency and high-throughput data feed. It’s popular among futures and options market traders because it offers real-time market data, order routing, and risk management tools.
How to get a Data Feed
The CQG and Rithmic data feeds are the most used and the lowest-cost through AMP Futures.
Prop firms like TopStep or Apex will also provide you with a dedicated data feed, such as Rithmic, once you subscribe to their services. However, some users have reported that Rithmic’s data might not be as reliable as other feeds like CQG.
Best Trading Platforms
We are constantly evolving in search of the best available tools. That is why you will find the best introductory videos on our website to learn how to use excellent platforms like ATAS and Quantower, specialising in advanced analysis techniques such as order flow, market profile and volume.
ATAS
ATAS is a platform that specialises in analysing order flow, which is 100% free for the cryptocurrency market. To trade futures or stock markets, you will need a paid licence which allows you to access all trading and tools features. At Chart Champions, you will find the best deals on ATAS and other trading platforms.
Quantower
A powerful and complete order flow and volume analysis platform for crypto and futures markets. Quantower provides advanced charting, technical analysis, order management tools and trading automation. It’s a highly customizable user interface and allows the integration of a broker and data provider.
Our Quantower module within our course will provide you full insights on how to best use this platforms to trade.
TradingView
This is good news for traders who are transitioning from crypto to futures trading. TradingView is an advanced financial platform where we can perform everything from basic price action analysis to using complex tools and indicators. It’s a widely used platform with multiple brokerage integrations and real-time data.
Don’t miss out on the best TradingView layouts made by Igor on Chart Champions, all available on our website.
Final Tips and Ticks
Depending on the asset we are interested in trading, there are a few options to look for. We will always encourage you to do your research and determine which of these trading platforms and brokers best suits your trading style:
- ES & NQ (micro-mini): (Self-funded) Open an AMP account and get CQG/Rithmic as a data feed. Connect your account to ATAS or Quantower.
- ES & NQ (micro-mini): (Funded) Open a TopStep/Apex account. Optionally, get CQG as a data feed through AMP. Connect your account to ATAS or Quantower.
- Micros Bitcoin: (Funded) Open a TopStep account. Optionally, get CQG as a data feed through AMP. Connect your account to ATAS or Quantower.
Demo Trading
We believe in starting smart.
With the full version of ATAS, you can set up a Simulator Account (ATAS Sim) via the Connection menu. TradingView also allows you to create a Demo account. In the following Beginner Series, Severin will show you how to set up your account on ATAS and TradingView to start crushing the charts.
Not only on ATAS or TradingView you can create demo accounts, but also TopStep allows you to create a Practice Account to test your strategies and their products.
Conclusions
Futures trading represents a well-structured and transparent avenue for accessing financial markets, offering opportunities for disciplined and informed traders, especially those transitioning from crypto to futures trading. You can develop a robust foundation by mastering key concepts such as contract specifications, tick movement, and the use of reliable trading platforms.
Understanding the importance of choosing the right tools—whether it’s selecting a suitable broker, integrating efficient data feeds like CQG or Rithmic, or platforms like ATAS and Quantower—ensures that your trading decisions are supported by accurate and timely information. This guide serves as a roadmap to help you navigate the futures market effectively, whether you’re self-funded or exploring prop trading firms.
Remember, success in futures trading requires continuous learning, proper risk management, and the ability to adapt to changing market conditions. Take the time to refine your approach, explore the tools and strategies that suit your style, and build the skills necessary to thrive in this competitive yet rewarding environment.
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