E-mini Dow (YM)

What YM tracks

YM is the E-mini Dow futures contract. It follows the Dow Jones Industrial Average, a price-weighted index of 30 large US companies. YM is listed on CBOT, one of the four exchanges owned by CME Group.

Because the Dow is price-weighted, stocks with high share prices have more influence than stocks with low share prices, regardless of company size. YM therefore behaves a little differently from ES and NQ. The minimum tick is a whole index point, which keeps the price ladder simple.

YM contract specifications

Specifications come from CME Group: CBOT Rulebook Chapter 27, CME Micro E-mini FAQ. CME can change trading hours, listed months and other terms, and holiday schedules differ, so confirm the details on CME Group's site before you trade.

What moves YM

Several forces tend to drive YM prices. None of them predicts direction on its own, and they often pull in different ways at the same time.

• Economic data. Releases such as the monthly jobs report, CPI inflation and retail sales can move index futures sharply in the minutes after 8:30 a.m. ET.
• Federal Reserve policy. Rate decisions, meeting minutes and speeches by Fed officials change expectations for borrowing costs and stock valuations.
• Overnight news. Because futures trade nearly around the clock, they react to news from Asia and Europe before the US stock market opens.
• High-priced Dow components. In a price-weighted index, a big move in a stock with a high share price shifts the Dow more than the same percentage move in a lower-priced stock.

Example P&L math

Say YM rises 100 points while you hold one long contract. That is 100 ticks of $5:

• 100 ticks × $5 = $500 per contract.
• A short position would lose the same $500. Losses and gains are symmetric before costs.
• On the micro contract, Micro E-mini Dow (MYM), the same move is worth $50.

These figures exclude commissions, exchange fees and slippage. Those costs shrink a winning trade and add to a losing one.

To run your own numbers, use the tick value calculator and the position size calculator on our tools page.

Margin

CME Group sets minimum performance bonds (margins) for every contract, and each broker then sets its own requirement, which can be higher. Many brokers also offer lower day-trading margins for positions closed before the session ends. These figures change often, especially when markets get volatile, so we do not quote a number here. Check your broker's current margin page before you trade, and compare brokers on our futures brokers page. Remember that margin is not the most you can lose. Losses on a futures position can exceed the margin you deposit.

MYM vs YM

Both contracts follow the same market, so the chart looks the same. The difference is dollar size. MYM is one-tenth of YM, which means ten MYM contracts carry about the same exposure as one YM.

When MYM fits: smaller accounts, learning, testing a strategy with real fills, scaling in and out in small steps, and prop firm accounts with tight daily loss limits. When YM fits: larger accounts where the per-contract cost of trading matters, since one YM usually costs less in commissions and fees than ten MYM contracts. A larger contract also means each mistake costs ten times as much, so only step up when your stop sizes and account size support it.

Position sizing

A common approach is to decide how many dollars you are willing to lose on a trade, then work out how many contracts fit. For example, with $200 of planned risk and a 30-point stop on YM, each contract risks $150, so 1 contract fits within that limit.

This example ignores commissions, fees and slippage, which make real losses larger. Stops can also fill worse than planned in fast markets.

Expiry and rolling

YM is cash-settled, so there is no physical delivery. If you hold to the end, your position closes at the final settlement price. Most active traders still roll to the next contract month a few days before expiry, when trading activity moves to the new month. Check the CME calendar for exact dates each month.

Related contracts

• Micro E-mini Dow (MYM)
• E-mini S&P 500 (ES)
• E-mini Nasdaq-100 (NQ)
• E-mini Russell 2000 (RTY)

See every contract we cover on the futures contracts page.

Frequently asked questions

What is the tick value of YM?

One minimum tick on YM is 1.00 index point, worth $5 per contract. The point value is $5 per index point.

What are the trading hours for YM?

Sunday to Friday, 6:00 p.m. to 5:00 p.m. ET, with a daily break from 5:00 to 6:00 p.m. ET (CME lists this as 5:00 p.m. to 4:00 p.m. CT). Holiday hours differ, so check CME Group's holiday calendar.

Is YM cash-settled or physically delivered?

YM is cash-settled. The last trading day rule: third Friday of the contract month. Trading in the expiring contract stops at the scheduled 9:30 a.m. ET open of NYSE trading.

How much margin do I need to trade YM?

Margins are set by CME and then by each broker, and they change with market conditions. Check your broker's current margin page, and see our futures brokers comparison.

Why does YM tick in whole points?

CBOT set the minimum price increment for YM at 1.00 index point, worth $5. The Dow's index level is high, so a one-point tick is still a small fraction of a percent.