The Step Index is one of the simplest synthetic indices to understand. Instead of moving with random-sized swings, it moves in small, fixed steps, up or down, at regular intervals. That makes it look smooth compared with the Volatility indices, but it is still a leveraged, high-risk product.
Step Index
The Step Index is a synthetic market that moves up or down in tiny, fixed steps every second, with an equal chance of each direction.
Step Index at a Glance
- Type
- Synthetic index (simulated market)
- Step size
- A fixed small step (0.1 on the standard Step Index)
- Direction
- Up or down with an equal (50/50) chance each tick
- Price updates
- Every second
- Trading hours
- 24 hours a day, 7 days a week
- Affected by news?
- No
Specifications are simplified and may change. Confirm current details with your broker.
Risk warning: synthetic indices are simulated, fast-moving and high-risk. You can lose your entire deposit. This page is educational, not advice. See the Risk Disclaimer.
What is the Step Index?
The Step Index is a simulated market in which the price takes a fixed-size step up or down at each tick. Each step is the same size, and the direction is random with an equal chance of up or down. There is no news, company or economy behind it.
How does it differ from Volatility indices?
- Volatility indices move with varying tick sizes around a constant volatility level.
- The Step Index always moves the same small distance, so its swings are smoother and more predictable in size, though not in direction.
Compare with the Volatility Indices.
How does it move?
Because each step is the same size and the direction is random, the Step Index behaves like a “coin toss” walk. It can trend for a while by chance and then reverse. There is no way to reliably predict the next step.
Risks and beginner tips
- It looks smooth and slow, which can tempt beginners to use large lot sizes; that is how accounts get hurt.
- Trading costs (spreads) can be large relative to the tiny steps.
- Practise on a demo account, use the smallest lot size and a stop loss, and risk only 1–2% per trade.
Step Index FAQ
What is the Step Index? +
The Step Index is a synthetic index that moves in small fixed steps up or down each second, with equal chances of each direction.
Is the Step Index safe for beginners? +
It carries a high risk of loss like other synthetic indices. Practise on demo, use small lot sizes and a stop loss.
Is the Step Index predictable? +
The step size is fixed, but the direction is random, so the next move cannot be predicted.
Practise Before You Risk Real Money
Try these indices on a free demo account first, and read our beginner guides.