Overall, both Consummate Traders and FT9ja offer funding for synthetic traders, but there are some differences in their account size, fees, leverage, max drawdown, and other requirements. Traders should carefully consider these factors before choosing a prop firm. Consummate Traders offers a two-phase evaluation account with a minimum account size of $5,000. The evaluation fee ranges from $49 to $1,849 depending on the account size. Once a trader passes the evaluation, they can access a funded account with a minimum account size of $5,000. FT9ja offers a prop firm for Deriv synthetic indices which is unique for those that trade on the Deriv platform.

trading synthetic indices

However, it is crucial to keep in mind that the prop firm will normally take a portion of the trader’s gains, which might lower overall profitability. Synthetic indices prop firm trading is profitable for traders who have a solid understanding of synthetic volatile markets and a disciplined trading approach. Synthetic indices have tight spreads, are highly volatile, and are open on weekends.

Best 8 Instant Funding Prop Firms for no Evaluation Program

To mitigate liquidity risk, traders should carefully assess the market conditions before placing their trades. They should also consider using limit orders instead of market orders when executing trades, as this can help ensure that trades are executed at a specific price point. Traders should be aware that in times of high volatility, there may be insufficient buyers or sellers in the market, which can lead to increased spreads and slippage.

  • For instance, the DMT5 platform provides access to over 50 synthetic indices from around the world, including major stock market indices like the S&P 500, NASDAQ 100, and FTSE 100.
  • FT9ja offers a prop firm for Deriv synthetic indices which is unique for those that trade on the Deriv platform.
  • Before trading in the complex products offered, please be sure to understand the risks involved.
  • Choose brokers with synthetic indices that offer low-cost, high-speed deposit options.
  • Compared to trading with personal money, this can let traders place bigger trades and possibly generate higher profits.
  • The Volatility (1s) Indices update faster, that is one tick every second, versus one tick every two seconds for the other Indices (ticks are each minimum move of the Index).
  • In summary, FT9ja is a go-to prop firm for Nigerian traders who are interested in trading synthetic indices.

Learning this will assist you in accurately applying support and resistance, the Fibonacci tool, trend lines, and the other default trading tools. Rather the best time to trade synthetic indices is at the break of the market structure after a market technical analysis is done. Synthetic indices are uniquely designed to simulate real-world market movements without being affected by the global event.


For example, the Boom 500 Index has on average 1 spike in its price series every 500 price ticks. On the other hand, the Crash 500 Index has on average 1 drop in the price series every 500 ticks. This price behavior helps traders quantify and https://www.xcritical.com/blog/how-to-trade-synthetic-indices/ more accurately predict price booms and crashes. Below are the most popular crash and boom indices available for trading. They are just like other trading instruments, but they have constant volatility and trade 24 hours a day 7 days a week.

Consummate Traders require a minimum of 7 trading days for the evaluation account. RISK DISCLOSURETrading forex on margin carries a high level of risk and may not be suitable for all investors. Losses can exceed deposits.Past performance is not indicative of future results.

Synthetic Indices have uniform volatility

After creating your account you will be prompted to transfer funds from your main Deriv account to your DMT5. The first option under the Real tab will be the option to create a real Deriv account. Begin by clicking on the drop-down menu beside the $ virtual money balance.

trading synthetic indices

At this point, you will have completed Deriv real account registration mt5. To trade real money you will need to continue with Deriv.com sign up and open a ‘Real Deriv account’. To do the Deriv real account registration you will need to do Deriv.com login into the Deriv demo account you created in the step above.

IC Markets

An example is volatility indices which can only be traded on the MetaTrader 5 platform. The FTSE 100, S&P 500, Dow Jones Industrial Average and many other popular indices in the world are available to trade on Exness. Spreads on the platform are floating, which means traders must stay updated on the spreads before they place trades.

I have also shared a PDF guide for synthetic indices that explains the strategies outlined in detail. The first step when choosing a trading platform is to establish the type of synthetic index available. The minimum https://www.xcritical.com/ balance for the first tier is $10,000, and the minimum monthly trade volume is $10 million. The minimum balance for the fourth tier is above $250,000, and the minimum monthly trade volume is over $500 million.

The Future of Synthetic Indices Trading

While both firms offer funding for synthetic traders, there are some differences between them. The Verification phase, the next step, provides traders with another demo account to use for trading. Traders who wish to access a funded account at Consummate Traders must undergo two phases of evaluation to prove their trading skills. If you’re looking to find prop trading firms that deal with synthetic indices there are methods you can try. One option is to search as there are websites that provide lists of prop trading firms and their offerings.

trading synthetic indices