// TRADING TERMINOLOGY
What is Lot Size?
The standardized quantity of a financial instrument used in trading.
In-Depth Explanation
In Forex, a standard lot is 100,000 units of the base currency. A mini lot is 10,000 (0.1), and a micro lot is 1,000 (0.01). Your lot size determines how much each pip movement is worth in your currency.
Practical Example
"On a standard lot of EUR/USD, 1 pip is worth $10. On a micro lot, 1 pip is worth $0.10."
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