Futures · Rookie
Tick size
What does Tick size mean?
Tick size is the minimum permitted price increment for a contract. It measures price movement, while tick value translates that movement into money.
Example
A contract quoted in 0.25-point increments moves four ticks when its price rises one point.
Illustrative example; not a provider’s quoted offer.Why it matters for prop traders
Tick size and monetary tick value are different numbers.
Sources and further reading
The following primary sources support the terminology. Provider rules describe their own products and may change.