What is a Lot in Forex?
Learn about standard, mini, and micro lots and how lot size affects your risk and pip value.
Last reviewed: 2026-03-06
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Overview
A lot is the standard unit size for a forex trade. A standard lot equals 100,000 units of the base currency. So one standard lot of EUR/USD is 100,000 euros. When you trade 0.1 lots (a mini lot), you control 10,000 units. A micro lot (0.01) is 1,000 units.
Lot size directly affects your pip value and risk. A standard lot on EUR/USD moves about $10 per pip. A mini lot moves about $1 per pip. A micro lot moves about $0.10 per pip.
Choosing Lot Size
Beginners should start with micro or mini lots. This limits risk while you learn. Use a pip calculator to determine the exact pip value for your account currency and lot size. Never risk more than 1-2% of your account per trade.
Lot Size And Leverage
Leverage allows you to control a full lot with less capital. With 100:1 leverage, $1,000 margin can control a standard lot. But leverage amplifies losses too. Smaller lot sizes reduce your exposure regardless of leverage.
FAQ
Common questions about this topic.
How much is one lot in forex?
A standard lot is 100,000 units of the base currency. Mini lots are 10,000 units (0.1 lot) and micro lots are 1,000 units (0.01 lot).
What lot size should beginners use?
Beginners should use micro (0.01) or mini (0.1) lots to limit risk while learning. Never risk more than 1-2% of your account per trade.
How does lot size affect pip value?
Larger lots mean higher pip value. A standard lot on EUR/USD is about $10 per pip; a mini lot is about $1; a micro lot is about $0.10.
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Disclaimer and sources
Educational content only. Not financial advice.
Important disclaimer
Forex trading involves substantial risk. This content is for educational purposes only.