WHAT IS A LOT?

WHAT IS A FOREX LOT?

If you’re thinking of starting Forex Trading, you have to start small and work your way up.

Micro lots are good for beginners who need to get to grips with Forex trading. Unlike standard Forex lots, which are worth 100,000 of the base currency, a micro lot is the equivalent to 1,000 units worth of the base currency you want to trade. Similarly, unlike standard lots, [where 1 pip=10 of the counter currency on pairs quoted to 4 decimal places and 1 pip=1,000 of pairs quoted to 2 decimal places] 1 of a pip in a micro lot is only worth 0.10 (4 decimals) or 10 (2 decimals) of the counter currency.