i Short answer
US30 and NAS100 are broker names for CFDs on the Dow Jones Industrial Average and the Nasdaq 100, the two most traded US indices among South African retail traders. You trade the price movement in dollars through a CFD broker, without owning any shares, and your profit or loss is converted to rand.
The busiest time is the New York cash session, which opens at 15:30 SAST while the US is on daylight saving time and at 16:30 SAST from early November to mid-March. Contract sizes differ between brokers, so always check the value of a one-point move before you trade.
Key Takeaways
- US30 tracks the Dow Jones Industrial Average: 30 large US companies weighted by share price.
- NAS100 tracks the Nasdaq 100: the 100 largest non-financial companies on Nasdaq, dominated by technology.
- The New York open at 15:30 or 16:30 SAST brings the most volume, the tightest spreads and the biggest moves.
- The value of a one-point move depends on your broker’s contract size, so check the specification first.
- Positions held overnight pay financing on the full value, and profits are taxable in rand.
📋 ON THIS PAGE
1. What US30 and NAS100 are
US30 is the broker label for the Dow Jones Industrial Average, an index of 30 large US companies. It is price-weighted, so a company with a high share price moves the index more than a larger company with a lower share price. NAS100 tracks the Nasdaq 100, the 100 largest non-financial companies listed on Nasdaq, weighted by market value and dominated by technology firms.
Neither is traded directly. Brokers offer CFDs whose prices follow the index, usually derived from the index futures, so you can go long or short with leverage and no share ownership. European and Asian indices work the same way.
NAS100 is generally more volatile than US30 because of its concentration in a small number of large technology companies. Both are much more volatile in rand terms than most JSE large caps, partly because of the currency.
2. Trading hours in SAST
South Africa does not change its clocks, but the United States does, so the New York times move by an hour twice a year. While the US is on daylight saving time, from the second Sunday of March to the first Sunday of November, the cash session runs from 15:30 to 22:00 SAST. For the rest of the year it runs from 16:30 to 23:00 SAST.
Most index CFDs follow the futures market and trade almost 24 hours from Sunday night to Friday night, with a short daily break around the US evening. Outside the cash session, spreads are wider and moves are thinner, apart from reactions to US data at 14:30 or 15:30 SAST and to company earnings after the US close.
The session hours in SAST page and the trading time zone calculator show the current times for any date.
3. Contract size and point value
This is where most beginners get caught out. One lot of US30 or NAS100 is defined differently from broker to broker: at some, one lot is worth $1 for every point the index moves, at others $10, and many allow mini or micro lots. A 300-point day on US30 is $300 on a $1 contract and $3,000 on a $10 contract.
Before you place a trade, open the contract specification and find the value of a one-point move per lot, then convert it to rand. At R16.55 to the dollar, $1 a point is R16.55 a point. Size the position from your stop distance in points and the rand you are prepared to lose, using the index position size calculator.
| US30 (Dow Jones) | NAS100 (Nasdaq 100) | |
|---|---|---|
| Constituents | 30 large US companies | 100 largest non-financial Nasdaq companies |
| Weighting | Share price | Modified market value |
| Sector tilt | Broad: industrials, finance, health, tech | Heavily technology |
| Typical volatility | Lower | Higher |
| Cash open (US summer) | 15:30 SAST | 15:30 SAST |
| Cash open (US winter) | 16:30 SAST | 16:30 SAST |
4. Margin and leverage
Margin is the index value times the contract size divided by the leverage. In Europe and the UK retail leverage on major indices is capped at 1:20, so a position worth $40,000 needs $2,000 of margin. South Africa has no statutory cap, so brokers often offer 1:100 or more on indices, as explained in why brokers offer high leverage.
Available leverage is a ceiling, not a target. A 2% fall in NAS100 is an ordinary day; on an account using 1:100 leverage in full, it is a loss of twice the margin. The margin calculator shows the margin and the move that triggers a margin call.
5. Spreads, overnight costs and dividends
The spread on US30 and NAS100 is usually a point or two during the cash session and wider at other times. Positions held past the daily close pay or receive overnight financing based on a US benchmark rate plus or minus the broker’s markup, charged on the full position value, and Friday positions often carry three days.
When companies in the index pay dividends, long CFD positions are usually credited and short positions debited with an adjustment. These amounts are small per day but add up over weeks, which is why index CFDs suit short holding periods better than long-term investing.
For a long-term investment in the same companies, an ETF tracking the S&P 500 or Nasdaq 100 is usually far cheaper, as the US vs Irish ETF calculator shows.
6. The rand and tax
If your account is in rand, your dollar profit or loss is converted at the broker’s rate, so the rand also moves your result. A strong rand shrinks a dollar gain in rand terms; a weak rand enlarges it. If your account is in dollars, you pay conversion when you deposit and withdraw.
Profits from index CFDs are taxable in South Africa. Frequent short-term trading is usually treated as income at your marginal rate; the trading tax calculator gives the estimate.
- Value of one point per lot, from the contract specification
- Rand value of that point at today’s exchange rate
- Stop distance in points and rand risk per trade
- Current SAST times for the cash open and US data releases
- Overnight financing if you will hold past the close
- FSCA licence of the entity that holds your account
★ Why It Matters
US indices are popular in South Africa because their busiest hours fit after a working day and they move enough to look attractive. The same movement means a mis-sized position can do serious damage in minutes.
The one number to get right before anything else is the rand value of a one-point move. Everything else, the stop, the risk and the leverage, follows from it.
✕ Common mistakes
- Assuming one lot means the same thing at every broker.
- Forgetting that US clock changes move the open by an hour in SAST.
- Holding index CFDs for months and paying financing every night.
- Trading the first minutes after the open with a stop that is too tight for the spread.
- Ignoring the rand’s effect on a dollar result.
See also: What Is the Best Time of Day to Trade Forex?
See also: Can South Africans Trade US Shares Through CFDs?
Frequently asked follow-up questions
What time does US30 open in South Africa?
The New York cash session opens at 15:30 SAST while the US is on daylight saving time and 16:30 SAST from the first Sunday of November to the second Sunday of March. The CFD itself trades almost 24 hours on weekdays.
Is NAS100 better than US30?
Neither is better. NAS100 is more volatile and tech-heavy; US30 is broader and slower. Choose the one whose movement fits your stop distance and risk.
How much is one point on US30?
It depends on the broker. Common contract sizes are $1 or $10 per point per lot, with smaller lots available. Check the contract specification before trading.
Can I trade US30 with R1,000?
Many brokers allow micro lots, so it is possible, but with a small account the stop distance a normal day requires can mean risking a large share of the balance on one trade.
Are US30 and NAS100 regulated in South Africa?
The CFDs are offered by brokers that the FSCA licenses, or by offshore entities. Check which entity holds your account.
Do I pay tax on index CFD profits?
Yes. SARS taxes them as trading income for frequent traders, at your marginal rate.
