Boom and Crash are the most talked-about indices on Deriv. Screenshots of huge spikes go viral in trading groups every day — but so do blown accounts. Understanding how these indices behave is the first step to trading them sensibly.
What are Boom and Crash indices?
Boom and Crash are synthetic indices available 24/7 on Deriv MT5. Their behaviour is simple to describe:
- Boom indices drift slowly downward most of the time, with sudden sharp upward spikes.
- Crash indices drift slowly upward most of the time, with sudden sharp downward spikes.
What does the number mean?
The number in the name tells you the average spike frequency in ticks. A tick is one price update.
| Index | Spike direction | Average frequency |
|---|---|---|
| Boom 1000 | Up | About 1 spike every 1,000 ticks |
| Boom 500 | Up | About 1 spike every 500 ticks |
| Boom 300 | Up | About 1 spike every 300 ticks |
| Crash 1000 | Down | About 1 spike every 1,000 ticks |
| Crash 500 | Down | About 1 spike every 500 ticks |
| Crash 300 | Down | About 1 spike every 300 ticks |
Deriv also lists other variations, such as Boom 600, Boom 900, Crash 600 and Crash 900. The idea is the same: a lower number means more frequent spikes.
Two ways traders approach Boom and Crash
1. Trading with the drift
On Boom, this means selling during the slow downward drift; on Crash, buying during the slow upward drift. The trend is your friend most of the time, but a single spike against you can erase many small wins. A stop loss is not optional here.
2. Trading for the spike
Here the trader buys Boom or sells Crash, hoping to catch a spike. Each spike can be large, but you may wait a long time while the drift slowly moves against you. Without strict risk limits this style drains accounts.
Using price action on Boom and Crash
In our live sessions we combine price action with clear levels:
- Mark support and resistance zones on higher timeframes (H1, H4).
- Look for the drift to approach a zone and show rejection on M5 or M15 candles.
- Plan the stop loss beyond the zone, and size the trade so the stop equals your fixed risk.
- Skip trades when price is in the middle of nowhere.
This does not make spikes predictable. It simply gives you a structured reason for every entry and a defined exit if you are wrong.
Lot size matters more than the entry
Boom and Crash have contract specifications that differ from forex. Before trading, right-click the symbol in MT5, open Specification and check the minimum volume and contract size. Then use a risk calculator so that a stop-loss hit costs no more than 1–2% of your balance. Our risk management guide walks through the maths.
Common Boom and Crash mistakes
- Believing tick counters or "spike detector" tools can predict spikes.
- Holding losing spike trades for hours while the drift eats the account.
- Using the maximum lot because a demo account looked profitable.
- Trading every index at once instead of mastering one.
Frequently Asked Questions
Risk warning: trading derivatives carries a high level of risk. This article is for educational purposes only and is not financial advice.
