How to start trading High Frequency Volatility Indices on Deriv MT5?

5
min read
5
min read
An abstract 3D financial illustration featuring a dark central globe surrounded by orbiting candlestick charts, glowing blue spheres, rising bar graphs, and dynamic, spiky lines representing high-frequency data and market volatility.

HFV Indices are a Synthetic Index family built by Deriv for speed. They require a dedicated Deriv MT5 start trading HFV indices because their fast feed leaves no room for last-minute adjustments once a trade is live. Synthetic Indices simulate constant volatility rather than tracking a real-world asset. While standard Volatility Indices generate one tick every two seconds, HFV Indices generate two ticks every second, which is four times the update frequency.

Because of the volume of data this generates, HFV Indices are currently only available on Deriv MT5. Trading them effectively means preparing your Deriv MT5 workspace in advance rather than reacting in the moment.

Step 1: Choose the right MT5 account types

You need one of three Deriv MT5 account types to trade HFV Indices: Standard, Swap-Free, or Zero Spread.

  • Standard account: The traditional, spread-based account. It suits most beginners exploring Synthetic Indices on Deriv MT5 for the first time.
  • Zero Spread account: Trades with zero spreads, applying a fixed commission per trade. Traders who scalp by opening and closing trades within minutes often prefer the Zero Spread account due to the predictable cost structure.
  • Swap-Free account: Designed for traders who follow Islamic finance principles, or who want to hold positions overnight without paying swap charges.
Side-by-side comparison of Standard, Zero Spread, and Swap-Free account types on Deriv MT5, showing differences in spread, commission, swap fees, and cost model
All three account types give access to the same five HFV Indices. The difference is cost structure. For scalping, where trades open and close within minutes, the Zero Spread account offers the most predictable cost per trade.

Step 2: Add Synthetic Indices on Deriv MT5 to your Market Watch

They’re not always displayed by default, so you must add them to your Market Watch panel manually.

  1. Open the Market Watch window (press Ctrl + M on Windows).
  2. Right-click anywhere inside the Market Watch window and select Symbols (or press Ctrl + U).
  3. In the Symbols window, navigate to the Volatility Indices folder.
  4. Look for the HFV assets: High Frequency Vol 10, 25, 50, 75, and 100 Index.
  5. Double-click each index you wish to trade so the symbol icon turns gold.
  6. Click OK.
Market Watch window in Deriv MT5 showing the list of Volatility Indices, with High Frequency Vol 100 Index selected and highlighted

Step 3: Customise your charts for high frequency volatility

Because HFV indices update at two ticks per second, viewing them on a high timeframe (like a Daily or 4-Hour chart) will compress the micro-movements.

Select a lower timeframe

Traders typically utilise the 1-Minute (M1) or 5-Minute (M5) timeframes. On the Deriv MT5 toolbar, click the M1 button to adjust the chart.

Customise the visual layout

Right-click the chart and select Properties. Ensure that the "Show Ask price line" is enabled to visually see both the Bid and Ask lines.

Apply relevant indicators

Keep your charts clean. Overloading a fast-moving chart can cause analysis paralysis.

Deriv MT5 chart displaying High Frequency Vol 100 Index price action with an RSI indicator below, and the symbol list panel on the right

Step 4: Enable one-click trading

In a market updating twice every second, manually opening an order ticket can take too long.

  1. Go to Tools > Options in the top menu (or press Ctrl + O).
  2. Navigate to the Trade tab.
  3. Check the box for One Click Trading.
  4. Read and accept the disclaimer.

You can pre-set your desired lot size in the panel that appears on your chart to place trades instantly.

How do you manage risk when one-click trading HFV Indices?

Because one-click trading opens your position at the current market price without a stop-loss attached, traders need to add one immediately after the trade opens. You can do this by dragging the entry line on your Deriv MT5 chart down (for a buy) or up (for a sell), or by using a standard order ticket to enter an exact stop-loss price before submitting the order.

In a rapidly moving market, positions can close at a less favourable price than set, which is known as slippage. Never leave an HFV position open without a stop-loss in place.

Practise with a demo account

You can familiarise yourself with how to start trading HFV indices and the fast-paced nature of HFV Indices by using a free Deriv demo account. This allows you to walk through the steps in this guide without risking real funds.

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FAQs

Which Deriv MT5 account types support HFV Indices?

HFV Indices are available on three Deriv MT5 account types: Standard, Swap-Free, and Zero Spread. The Standard account uses traditional spreads, the Zero Spread account replaces spreads with a fixed commission per trade, and the Swap-Free account avoids overnight swap charges. You can trade HFV Indices on a real or demo version of any of these three, set up through your Deriv Trader's Hub.

Why should I use a lower timeframe to trade HFV Indices?

HFV Indices update at two ticks per second, four times faster than Deriv's standard Volatility Indices. On a high timeframe such as Daily or 4-Hour, this detail gets compressed and you lose sight of the micro-movements the fast feed generates. Traders often switch to the one-minute (M1) or five-minute (M5) timeframe instead, where each price update is visible and easier to act on.

What does one-click trading do, and why is it useful for HFV Indices?

One-click trading lets you open a buy or sell position at the current market price with a single click, instead of filling in a full order ticket first. In a market updating twice every second, this removes the delay between deciding to trade and entering it. You enable it from Tools, then Options, then the Trade tab in Deriv MT5, after accepting Deriv MT5's risk disclaimer.

How do I manage risk since one-click trading doesn't set a stop-loss automatically?

Because one-click trading opens a position without a stop-loss, you need to add one immediately afterwards, either by dragging the entry line on your Deriv MT5 chart to your desired level, or by using a standard order ticket where you enter an exact stop-loss price before the trade executes. Leaving an HFV position unprotected is risky, since price can move quickly at two ticks per second.

Can I trade HFV Indices on Deriv Trader or Deriv cTrader?

No. HFV Indices are currently only available on Deriv MT5 and aren't offered on Deriv Trader or Deriv cTrader. If you want to trade Synthetic Indices on those platforms, Deriv's standard Volatility Indices are available there instead, updating at a slower one tick every two seconds.

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