Point value

Point value, also called the contract multiplier, is the currency amount that one contract gains or loses when the underlying moves by one full point. It is set by the exchange in the contract specification, and together with the tick size it determines the tick value and therefore every conversion between chart distance and money.

Senzoukria · Glossary · Updated September 2026

Multiplier, point and tick

A futures price is quoted in points of the underlying. The point value says how many dollars, or units of the contract currency, each of those points represents for one contract. The tick size says how finely the point is divided. Tick value is therefore point value times tick size, and a move of N ticks on C contracts is worth N × tick value × C. For contracts on the same index in different sizes, the point value is the specification line that differs while the price and the tick are shared.

  • The point value is constant for the life of the contract; it does not depend on the price level.
  • Notional exposure is price times point value per contract, which is why the same number of contracts means very different risk on different products.
  • Currency matters: a contract quoted in one currency has a point value in that currency, and a conversion is needed before comparing with another.

Why a backtest cannot skip it

  • A strategy result in ticks is dimensionless with respect to money. To subtract a fee quoted in dollars, the engine must know the dollars per tick, which it derives from the point value and the tick size.
  • Position sizing rules stated in currency, a fixed risk per trade for instance, need the point value to translate into a stop distance in ticks.
  • A wrong point value scales every profit, loss and cost together, so the equity curve keeps its shape but every figure in currency is off. The error is easy to miss when looking at the curve alone.

In Senzoukria

On the historical backtest screen the Transaction costs block includes a Point value ($) input alongside Round-trip fee per contract ($) and Slippage (ticks). It is filled in by the user from the contract specification and combined with the instrument's tick size to express slippage and results in currency. The desktop also uses it in the automated strategy path, but running a backtest does not arm the live autopilot; arming is a separate, explicit action and requires a compatible account. The backtesting guide on this site describes the historical execution model as bar-based and asks for fees to be converted with the actual instrument tick value.

Common mistakes

  • Entering the point value of a different contract size, which multiplies or divides every currency figure by the size ratio.
  • Confusing point value with tick value when a specification lists the tick in dollars rather than the multiplier.
  • Treating a point value copied from a third-party table as authoritative; the exchange specification is the source.

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Frequently asked questions

Is point value the same as the contract multiplier?
Yes, the terms describe the same specification line: the currency amount per one full point of the underlying for one contract. Some documents call it the contract unit or the dollar multiplier. Tick value is a derived figure, point value times tick size.
Where should I enter the point value in Senzoukria?
In the Transaction costs block of the historical backtest screen, in the field labelled Point value ($). Take the figure from the exchange specification of the exact contract you are testing, and re-enter it if you switch between a Micro and an E-mini of the same index.
Does the point value affect the footprint or the heatmap?
No. Those displays work in price and volume; they show ticks and contracts, not currency. Point value only matters when a result or a cost has to be expressed in money, which is the backtest, the journal and any risk rule stated in currency.

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