Calculate correct forex lot size based on account balance, risk % and stop loss.
| Lot Type | Lots | Units | Pip Value* |
|---|---|---|---|
| Standard | 1.0 | 100,000 | ~$10 |
| Half Std | 0.5 | 50,000 | ~$5 |
| Mini | 0.1 | 10,000 | ~$1 |
| Micro | 0.01 | 1,000 | ~$0.10 |
| Nano | 0.001 | 100 | ~$0.01 |
*Pip values approximate for USD account, EUR/USD pair at 1:100 leverage
Start with micro lots (0.01). They give you real market experience with minimal risk. Once consistently profitable for 3 months, consider mini lots (0.1).
Leverage allows you to control larger positions with less capital. At 1:100 leverage, $1,000 controls a $100,000 (1 lot) position. Higher leverage = lower margin requirement but higher risk.
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