Forex Lot Sizes Explained: Standard, Mini, Micro, Nano

Lot size defines how much currency you trade. It directly controls pip value and risk, so it is one of the most important concepts to master.

Standard lot

• 100,000 units
• EUR/USD pip value is about $10

Mini lot

• 10,000 units
• Pip value is about $1

Micro lot

• 1,000 units
• Pip value is about $0.10

Nano lot

• 100 units
• Pip value is about $0.01 (if your broker offers it)

How lot size connects to risk

Risk per trade = stop loss in pips x pip value Use this to back into the correct lot size.

Example

• Account size: $5,000
• Risk: 0.5% = $25
• Stop loss: 25 pips
• Required pip value: $1
• Trade size: 1 mini lot

Tips for beginners

• Start with micro lots
• Use fixed fractional risk
• Adjust lot size only after reviewing your journal

Mistakes to avoid

• Trading a fixed lot size regardless of volatility
• Increasing size after a win
• Ignoring spread costs

Next Steps

1. Pip Value Guide - Calculate pip value correctly
2. Position Sizing Guide - Use a repeatable formula
3. Risk Calculator - Get instant sizing

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About the Author: Pip Campus Education Team - Making the math simple.

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