Nikkei 225 (NKD) Futures Contract Specifications

What Are Nikkei 225 (NKD) Futures?

Nikkei 225 Futures (NKD) provide traders with exposure to the Nikkei 225 Stock Average, Japan's leading stock index. These contracts allow traders to gain exposure to the Japanese equity market without directly investing in Japanese stocks.

Contract Size

Contract Size: $5 multiplied by the Nikkei 225 Stock Average

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

Tick Value and Increment

  • Tick Size: 5.0 index points
  • Tick Value: $25.00 per tick
  • Point Value: $5.00 per point

These specifications make Nikkei 225 (NKD) Futures suitable for traders seeking exposure to stock indices markets.

Trading Hours

Nikkei 225 (NKD) 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: NKD

Margins

To trade Nikkei 225 (NKD) Futures, you'll need to meet specific margin requirements. Check with your broker for the latest margin rates and details.

Why Trade Nikkei 225 (NKD) Futures?

  • Exposure to the Japanese equity market
  • Diversification for portfolios primarily invested in U.S. equities
  • Trading opportunities during Asian market hours
  • Hedging tool for investors with exposure to Japanese stocks
  • Access to international markets without currency conversion issues

Position Sizing for Nikkei 225 (NKD) Futures

Proper position sizing is crucial when trading Nikkei 225 (NKD) 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 Nikkei 225 (NKD) Futures (NKD):

  • Tick Size: 5.0 index points
  • Tick Value: $25.00 per tick
  • Point Value: $5.00 per point

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

Risk per Contract = Stop Loss in Points × Point Value = 10 × 5.00 per point = $50

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