Natural Gas (NG) Futures Contract Specifications

What Are Natural Gas (NG) Futures?

Natural Gas Futures (NG) provide traders with exposure to natural gas prices. These contracts are widely used for speculation on natural gas price movements, hedging energy costs for businesses, or diversifying energy investment portfolios.

Contract Size

Contract Size: 10,000 MMBtu (million British thermal units)

Example: This contract size allows traders to gain exposure to energy with controlled leverage and risk.

Tick Value and Increment

  • Tick Size: 0.001 USD per MMBtu
  • Tick Value: $10.00 per tick
  • Point Value: $1,000.00 per point

These specifications make Natural Gas (NG) Futures suitable for traders seeking exposure to energy markets.

Trading Hours

Natural Gas (NG) Futures trade with extended hours, providing flexibility for traders in different time zones.

  • Trading Hours: Sunday to Friday, nearly 24 hours a day with a short break
  • Time Zone: Central Time (CT)

Trading Symbol

Platform Symbol: NG

Margins

To trade Natural Gas (NG) Futures, you'll need to meet specific margin requirements. Check with your broker for the latest margin rates and details.

Why Trade Natural Gas (NG) Futures?

  • Exposure to a key energy resource with seasonal price patterns
  • High volatility offering significant trading opportunities
  • Effective hedging tool for businesses with natural gas exposure
  • Extended trading hours covering all global market sessions
  • Standardized contract specifications and regulated exchange

Position Sizing for Natural Gas (NG) Futures

Proper position sizing is crucial when trading Natural Gas (NG) Futures. Use our position size calculator to determine the optimal number of contracts based on your risk tolerance and account size.

Position Size Calculator Example

For Natural Gas (NG) Futures (NG):

  • Tick Size: 0.001 USD per MMBtu
  • Tick Value: $10.00 per tick
  • Point Value: $1,000.00 per point

If you want to risk $500 with a 10-point stop loss:

Risk per Contract = Stop Loss in Points × Point Value = 10 × 1,000.00 per point = $10

Maximum Contracts = Risk Amount ÷ Risk per Contract = $500 ÷ $10 = 50 contracts