PL Tick Size, Tick Value, and Full Platinum Contract Specs
If you don’t understand tick size and tick value, you don’t understand risk. Platinum futures (PL) make that brutally obvious. The market is thinner, jumps harder, and punishes traders who play it like gold. This breakdown gives you the real contract math — not the simplified garbage brokers hand out.
The Tick Size: $0.10 Per Ounce (Don’t Ignore This)
Every PL tick is worth $5.00. That’s the minimum price movement. Traders screw this up because they assume metals all behave like GC or SI. Wrong. Here’s the formula:
Tick Value = Contract Size × Tick Size = 50 oz × $0.10 = $5 per tick
Five bucks per tick sounds light until PL jumps 40–70 ticks in seconds during low-liquidity surges. That’s a fast $200–$350 swing whether you’re ready or not.
Full Tick Table (Your Real Exposure)
| Move in PL | Your P/L |
|---|---|
| 10 ticks | $50 |
| 50 ticks | $250 |
| 100 ticks | $500 |
| 200 ticks | $1,000 |
PL doesn’t grind like GC. It snaps. If your stop is tight, you’ll get slipped. If your size is too big, you’ll blow out. Respect the ticks.
Minimum Price Fluctuation Isn’t Always the Real Move
PL’s book isn’t thick. Most of the time, price moves in larger chunks because the liquidity ladder has air pockets. So while CME says the min fluctuation is $0.10, the *practical* move is often $0.20–$0.40. That doubles or quadruples impact instantly.
This is why trading PL during off-hours is asking to get your face ripped off. Related read: Best Times to Trade PL.
Contract Specs You Actually Need (Not the Useless Ones)
| Spec | Value | Why It Matters |
|---|---|---|
| Contract Size | 50 troy ounces | Your leverage base; every $1 move = $50 |
| Tick Size | $0.10 | Controls your P/L speed |
| Tick Value | $5 | Risk-per-tick calculation |
| Settlement | Physical | Never hold into expiration unless you want delivery risk |
| Trading Hours | 5:00 p.m.–4:00 p.m. CT | Off-hours spreads get ugly |
| Expiration Months | January, April, July, October | Don’t get trapped in a thin roll period |
How to Read Risk the Right Way
Most new traders look at their stop in ticks. Wrong approach. Use *dollar exposure*:
- 20-tick stop = $100 risk
- 40-tick stop = $200 risk
- 100-tick spike = $500 swing
That’s assuming no slippage, which is unrealistic in PL. Plan for 2–6 ticks of slippage in normal conditions and worse when the spread widens.
Why PL Specs Matter More Than GC or SI Specs
GC and SI have depth — you can get in and out clean. PL doesn’t hand out that luxury. Thin books mean:
- Your fill quality is worse
- Your stop efficiency is worse
- Your average slippage is worse
- Your risk is higher even with the same stop distance
This is why beginners start with gold, not PL. But if you’re here, you’re not trying to stay a beginner.
Final Take: Respect the Math or Get Run Over
Platinum futures reward precision and punish laziness. Understand the tick size, measure risk in dollars, and assume spreads will widen at the worst time. Get those fundamentals locked before you move into volatility work, spreads, or seasonality.