You trade indices with a prop firm through index CFDs such as US30, NAS100 and US500, which follow the price of a stock index without you owning any shares. You size each trade from your risk per trade and your stop in points, then check it against the plan's index leverage, lot limit, news window and Max Risk Rule.
In short: Index CFDs move in points, and what one point is worth depends on the contract size on your platform. Find the contract size in the symbol specification, set your stop in points, then work out lots from the amount you are willing to lose. At Alpha Capital, index leverage is 1:20 on Alpha Pro and 1:10 on every other plan, and indices carry no commission on either account type.
Educational content only, not a personal recommendation. Examples are illustrative. Alpha Capital accounts are simulated accounts with simulated funds, and performance fees are not guaranteed.
| Key fact | At Alpha Capital |
|---|---|
| Index CFDs on the tradeable list | US30, NAS100, US500, UK100, GER30, EUSTX50, JPN225, HK50 |
| Index leverage | 1:20 on Alpha Pro; 1:10 on Alpha One, Alpha Swing, Alpha Three and Alpha Direct |
| Commission on indices | None, on Standard and Raw accounts |
| Max Risk Rule (Qualified Accounts bought after 21 July 2026) | 3%, 2% or 1% of the account per asset, depending on size and plan |
What is a stock index, and how does an index CFD track one?
A stock index is a single number that tracks the prices of a basket of company shares. Three US indices get the most attention:
- US30 follows the Dow Jones Industrial Average, 30 large US companies.
- NAS100 follows the Nasdaq 100, the 100 largest non-financial companies listed on the Nasdaq, with a heavy weighting towards technology.
- US500 follows the S&P 500, a broad index of 500 large US companies.
An index CFD (contract for difference) pays the change in the index price between the moment a trade opens and the moment it closes, multiplied by your position size. You can buy if you expect a rise or sell if you expect a fall, and you never hold the shares. If you want the wider picture first, our guide to CFD trading vs forex trading explains how index CFDs sit next to currency pairs on the same simulated account.
At Alpha Capital, the tradeable assets list includes US30, NAS100, US500, UK100, GER30, EUSTX50, JPN225 and HK50. Symbol names can differ by platform and account type (the news trading article writes US100.PRO/RAW, for example), so search your platform's symbol list.
How do index prices move, and what is a point worth?
Forex prices move in pips, at the fourth or fifth decimal place. Index prices are quoted in thousands of points, so normal moves look much larger, yet 50 pips on a currency pair and 150 points on an index can mean similar risk. It depends on what each unit is worth on your position.
For an index CFD, one point is a one-unit change in the quoted price. If NAS100 goes from 20,000 to 20,001, it has moved one point. What that point is worth in money depends on the contract size, which each platform sets for each symbol. On one platform, 1 lot might be worth $1 per point. On another, 1 lot of the same index might be worth $10 or $20 per point. Assume the wrong figure and you can take ten times the risk you meant to.
To find the real figure, open the symbol specification on your platform before you place a trade. In MetaTrader 5 desktop, right-click the symbol in Market Watch and choose Specification. In the mobile app, open the symbol's Properties. Swap rates and trading hours are listed there too (important trading terms). Look for the contract size, tick size and tick value. Tick value divided by tick size gives you the value of one full point for 1 lot.
How do you size a NAS100 trade on a simulated $100,000 account?
This worked example is illustrative. It uses a contract size of $1 per point per lot to keep the maths simple, and a NAS100 price of 20,000. Use the figures from your own platform's symbol specification instead.
- Choose your risk per trade. On a simulated $100,000 account, you decide to risk 0.5% on this idea. That is $500.
- Set your stop in points. Your stop sits 50 points from your entry.
- Work out the loss per lot at the stop. 50 points × $1 per point = $50 per lot.
- Divide your risk by that figure. $500 ÷ $50 = 10 lots.
At $10 per point per lot, the same trade would be 1 lot; at $20, 0.5 lots. The money at risk is the same, only the lot number changes. Our lot size calculator does the same sum for you once you know the value per point.
Next, check the margin. The full position is worth 10 lots × $1 × 20,000 = $200,000 of exposure.
| Index leverage | Margin for $200,000 of exposure | Share of a $100,000 account |
|---|---|---|
| 1:10 | $20,000 | 20% |
| 1:20 | $10,000 | 10% |
Margin is collateral, not the amount you can lose. Your loss on this trade is still the $500 set by your stop, plus any spread, swap or slippage. Lower leverage simply ties up more margin. Last, check the lot limit: 10 lots sits inside the 40 allowed on a $100,000 Alpha Pro, One, Three or Direct Qualified Account, and the 20 on Alpha Swing.
How does index trading work under prop firm rules at Alpha Capital?
Each of the rules below comes from the Alpha Capital help centre, read on 6 November 2026. Plan rules can change, so check the linked article before you trade.
Index leverage by plan
According to the leverage article, indices have 1:20 leverage on Alpha Pro and 1:10 on Alpha One, Alpha Swing, Alpha Three and Alpha Direct. That applies to evaluation and Qualified Analyst accounts alike. Indices are also commission-free on both the Standard and Raw account types, according to the commission article. Other trades on a Raw account are charged $2.5 per lot in each direction.
Lot limits
On Qualified Accounts there is a maximum lot exposure, which is the total of all open lots at any one time, across every symbol. On a $100,000 account it is 40 lots on Alpha Pro, One, Three and Direct, and 20 lots on Alpha Swing (lot size limit article).
News windows
During the evaluation you can trade freely through news. On Qualified Analyst Pro, One, Three and Direct accounts, you cannot open or close a trade on a targeted instrument from 5 minutes before to 5 minutes after a listed release, and that includes a stop loss or take profit filling in the window. The news trading article lists which releases target which instruments. Three US releases, CPI, Federal Reserve rate decisions (with the press conference) and Non-Farm Payrolls, restrict every instrument, so every index is locked during them. Other US data targets the US indices, EUR releases the EU indices, GBP releases the UK indices and JPY releases the Asian indices. Alpha Swing works differently: a trade opened within 2 minutes either side of a release must stay open for more than 2 minutes.
Overnight and weekend holds
Overnight holds are allowed on every plan, with a swap paid or received (overnight article). Weekend holds depend on the plan (weekend article). They are allowed at every stage on Alpha Swing, One and Three. On Alpha Pro they are allowed in Phase 1 and 2 but not on the Qualified Analyst account. They are not allowed on Alpha Direct.
Max Risk Rule
The Max Risk Rule applies to Qualified Accounts bought after 21 July 2026. It limits open drawdown, meaning floating losses, on any one asset. The limit is 3% on $5,000 to $25,000 accounts, 2% on $50,000 to $200,000 accounts, and 1% on Alpha Direct at all sizes. Each asset is tracked separately, and the first one to reach its limit closes the account, however your other positions are doing.
Losing positions on the same asset are combined, and profitable ones do not offset them. All trading costs, including commissions, swaps and slippage, count towards the limit, so the help centre recommends leaving a buffer below it.
If you close a trade and open a new one on the same asset, in the same direction, within 10 minutes, the losses from both trades count together towards the limit. This carries on with each further trade, so a run of quick re-entries can form one continuous chain. The chain only ends once more than 10 minutes pass between one trade closing and the next one opening. Switching direction does not end it, because trades the other way on the same asset form a separate chain. In the worked example above, four NAS100 trades in a row in the same direction, each opened within 10 minutes of the previous one closing and each losing $500, would add up to $2,000, which is the 2% limit on a $100,000 Qualified Account. On Alpha Direct, where the limit is 1%, two such losses would reach it.
Prohibited strategies
The prohibited strategies article uses NAS100 to explain position spamming: a 3-lot idea taken as one 3-lot trade or two 1.5-lot trades is fine, but three 1-lot positions, each opened within 60 seconds of the one before, is not. Latency trading, arbitrage, high-frequency trading and reverse trading (group hedging) are also prohibited.
Every account also has a two-minute rule: the average duration of all your trades must be more than 2 minutes, and at least half of your profit must come from trades held for more than 2 minutes. That matters if you scalp the fast moves around the US open.
When do index markets open, and why do prices gap?
The US stock market's cash session runs from 9:30 to 16:00 New York time. For most of the year that is 14:30 to 21:00 in the UK, including now, with both countries on winter time. For a few weeks in spring and autumn, when the two countries change their clocks on different dates, it starts at 13:30 UK time. The London cash session for the FTSE 100 runs from 8:00 to 16:30 UK time. Index CFDs often trade for longer than the cash session, so check your platform's trading hours in the symbol specification.
At the cash open, price can jump straight past your stop, so your fill may be worse than the stop level; the important trading terms article names market opening times and major news as common causes of slippage. The weekend gap is a bigger version of the same risk: index CFDs close on Friday evening and reopen on Sunday evening, and weekend news can move the price before you can act. If you want to see how the main sessions overlap, read our guide to forex trading sessions, and for intraday levels many index traders also watch VWAP.
What are the most common mistakes when trading indices with a prop firm?
- Assuming the value per point. Copying a lot size from another platform or another trader can multiply your risk. Check the symbol specification first.
- Treating lots like forex lots. A lot of an index can carry a very different risk from a lot of a currency pair, yet both count the same towards the lot limit.
- Re-entering fast after a loss. Under the Max Risk Rule, quick same-direction re-entries on the same index add their losses together.
- Forgetting the news calendar. On Qualified Pro, One, Three and Direct accounts, a listed release locks the targeted indices for 10 minutes, stops and targets included, and US CPI, Fed decisions and Non-Farm Payrolls lock every index.
Trade gold as well? Our gold trading guide covers XAUUSD sizing, the Alpha Capital rules guide puts every rule on one page, and what a prop firm is explains the model.
Frequently asked questions
Does leverage differ between forex, gold and index CFDs?
Yes. At Alpha Capital, index leverage is 1:20 on Alpha Pro and 1:10 on every other plan. Forex is 1:100 on Pro, 1:50 on Three and 1:30 on One, Swing and Direct. Metals, including gold, are 1:30 on Pro and 1:9 on the other plans. Oil is 1:10 on all of them.
Which index CFDs can I trade at Alpha Capital?
The tradeable assets list includes US30, NAS100, US500, UK100, GER30, EUSTX50, JPN225 and HK50. Symbol names can carry a suffix or differ slightly by platform, so search your platform's symbol list.
Is there a commission on index trades?
No. Indices are commission-free on both the Standard and Raw account types. Spread, swap and slippage still apply.
How do I find what one point is worth on an index CFD?
Open the symbol specification on your platform and look at the contract size, tick size and tick value. Tick value divided by tick size gives the value of one point for 1 lot. Contract sizes differ between platforms, so check each one you use.
Can I hold index trades overnight or over the weekend?
Overnight holds are allowed on every plan, with a swap. Weekend holds are allowed at every stage on Alpha Swing, One and Three, and in Phase 1 and 2 on Alpha Pro. They are not allowed on an Alpha Pro Qualified Analyst account or on Alpha Direct.
Do news rules apply to index CFDs?
Yes, on Qualified Analyst Pro, One, Three and Direct accounts. You cannot open or close a trade on a targeted index from 5 minutes before to 5 minutes after a listed release. US CPI, Federal Reserve decisions and Non-Farm Payrolls target every instrument, so all indices are locked; other US releases target the US indices.
Sources
- Alpha Capital help centre: leverage by plan, tradeable assets, commission fees, lot size limit, read 6 November 2026.
- Alpha Capital help centre: news trading, overnight holds, weekend holds, read 6 November 2026.
- Alpha Capital help centre: Max Risk Rule, prohibited strategies, two-minute rule, important trading terms, read 6 November 2026.
