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Welcome to Forex Blogs! Here, you can find all the latest news, tips, and tricks related to the Forex market. Our blog is regularly updated with insightful articles, tutorials, and market analysis that can help you become a successful trader. Our team of experts provides knowledge-based posts to help you gain an edge in the Forex market. We also provide educational resources for those who want to learn more about trading Forex and other financial markets. Join us today and stay informed about the latest developments in Forex trading.

RISK DISCLOSURE

FOREX TERMINOLOGIES & LOT SIZE.

Here are some commonly used Forex terminology:

  1. Pip: A pip is the smallest unit of measurement for currency pairs. It represents the fourth decimal place for most currency pairs, except for Japanese yen pairs, where it represents the second decimal place.

  2. Spread: The spread is the difference between the bid price and ask price of a currency pair. It represents the cost of trading, and is typically quoted in pips.

  3. Margin: Margin is the amount of money required to open a position in Forex trading. It is typically expressed as a percentage of the total position size.

  4. Leverage: Leverage is the ability to control a larger position size with a smaller amount of capital. It is expressed as a ratio, such as 100:1, and can magnify both gains and losses.

  5. Stop Loss: A stop loss is an order to close a position at a specified price level to limit losses.

  6. Take Profit: A take profit is an order to close a position at a specified price level to lock in profits.

  7. Margin Call: A margin call is a request from the broker for the trader to deposit additional funds to maintain the required margin level. If the trader fails to meet the margin call, the broker may close out their position.

  8. Long Position: A long position is a position where the trader buys a currency pair with the expectation that its value will increase.

  9. Short Position: A short position is a position where the trader sells a currency pair with the expectation that its value will decrease.

  10. Currency Pair: A currency pair is the quotation of one currency against another currency in the Forex market. For example, EUR/USD represents the Euro against the US dollar.

  11. Liquidity: Liquidity refers to the ease with which a currency pair can be bought or sold without affecting its price.

These are just a few examples of Forex terminology, and there are many more terms used in Forex trading that traders should be familiar with to trade successfully.








 

LOT SIZE IN FOREX.


In Forex trading, there are different types of lot sizes that traders can use to enter positions & A lot is a standardized unit of measurement for Forex trading.

​LOT TYPE

STANDARD SIZE

NUMBER OF UNITS

PIP VALUE (PER PIP MOVEMENT)

Standard Lot

100,000

100,000 unit of base currency

$10 for most currency pairs (except JPY pairs)

Mini Lot

10,000

10,000 units of base currency

$1 for most currency pairs (except JPY pairs)

Micro Lot

1,000

1,000 units of base currency

$0.10 for most currency pairs (except JPY pairs)

Nano Lot

100

100 units of base currency

$0.01 for most currency pairs (except JPY pairs)




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