what is forex lot size and how to calculate fully explain

 Understanding forex Lot Size

Hey Friends, today in our lecture blog what is forex lot size and how to calculate fully explain, we will discuss **what lot size is in the Forex market** and how to set it when taking trades. Regardless of your capital,

 understanding lot size is crucial. If you're serious about learning Forex, this video is important. However, if you're just here to pass the time, you might not find it useful.

Let’s dive into what lot size is and how to determine it when trading. A lot size refers to the amount of currency you're trading. The most common types of lot sizes are: ( fx calculater). 

Lot size fully details 

1. **Standard Lot**: 

This is the largest lot size, equivalent to 1.00, with a pip value of $10. This means if you set a lot size of 1.00, your profit or loss would be determined by a $10 change in the price for each pip movement.

2. **Mini Lot**:

 This is smaller than a standard lot, with a size of 0.10, making its pip value $1. Therefore, if you set a mini lot size of 0.10, your profit or loss per pip will be $1.

3. **Micro Lot**:

 The smallest lot size, which is 0.01, has a pip value of $0.10 (or 10 cents). So, if you set a micro lot size of 0.01, your profit or loss will be 10 cents per pip movement.

 Setting the Lot Size

It's crucial to set your lot size correctly when trading, as not doing so can lead to significant losses. When entering a trade, always adjust the lot size according to your trading account balance. 

 

 set the lot size

- Click on the order entry section in your trading app.

- You'll see options for 'buy' and 'sell.' 

- Before executing a trade, ensure you set the lot size accordingly—whether you want it to be standard, mini, or micro.

As an example, if you wish to place a buy order and choose to set the lot size to 0.10 (mini), you will proceed by clicking the buy button after setting it.

### Final Thoughts

Practice adjusting and setting your lot size regularly, especially if you’re a beginner. In our next video, we’ll delve deeper into determining the optimal lot size based on your trading strategy.

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