What Is a Lot in Forex?
A lot is the standard unit of position size in forex. One standard lot is 100,000 units of the base currency; mini, micro and nano lots are 0.10, 0.01 and 0.001 of that size.
Written by the calc.forex Editorial Team. Last reviewed . · 4 min read · How we check our numbers
Key takeaways
- One standard lot = 100,000 units of the base currency (the first currency in the pair). Mini = 10,000 (0.10), micro = 1,000 (0.01), nano = 100 (0.001) where offered.
- On EUR/USD in a USD account, 1 lot is worth $10 per pip, a mini lot $1, and a micro lot $0.10.
- On USD/JPY at 150.00, 1 lot is ¥1,000 per pip ≈ $6.67; the dollar value moves with the rate.
- On gold (XAU/USD) with calc.forex defaults, 1 lot is 100 oz and $10 per $0.10 pip.
- Lot size is an output of risk management, not an input: use the position size calculator from risk and stop distance. The lot size guide covers the full formula.
On this page
What is a lot in forex?
In retail forex, a lot is a standardised bundle of the base currency. Saying you are long "0.50 lots of EUR/USD" means you control 50,000 euros against the US dollar — half a standard lot — not that you deposited €50,000.
Brokers quote volume in lots (or sometimes in units). The platform multiplies lots by the contract size (usually 100,000 for FX) to get the notional exposure. Profit, loss and margin all scale with that notional, which is why lot size is the lever between a stop distance in pips and a loss in money.
Outside forex the word still means "one contract unit", but the unit changes: 100 oz of gold, 1× an index, 1 bitcoin. This guide focuses on currency pairs and then shows how the same idea maps to gold.
How much is 1 lot?
For forex: Contract size = 100,000 units of base currency
So 1.00 lot of EUR/USD is €100,000 of euro exposure. At EUR/USD 1.1000 that position is worth $110,000; you do not need $110,000 in the account — leverage and margin decide the deposit, while risk and stop decide whether 1.00 lot is a sensible size.
| Lot name | Lots | Units (forex) | Typical use |
|---|---|---|---|
| Standard | 1.00 | 100,000 | Larger accounts or wider stops with small risk % |
| Mini | 0.10 | 10,000 | Common retail default step |
| Micro | 0.01 | 1,000 | Small accounts and tight risk |
| Nano (some brokers) | 0.001 | 100 | Very small accounts; not universal |
Most MT4/MT5 accounts step in 0.01 lots, so "micro lot" simply means typing 0.01 in the volume field. The lot converter turns lots into units and back.
Pip value per lot: EUR/USD, USD/JPY and gold
| Instrument | 1.00 lot | 0.10 lot | 0.01 lot |
|---|---|---|---|
| EUR/USD (USD account) | $10.00 / pip | $1.00 | $0.10 |
| USD/JPY at 150.00 (USD account) | $6.67 / pip | $0.67 | $0.067 |
| XAU/USD ($0.10 pip, 100 oz) | $10.00 / pip | $1.00 | $0.10 |
EUR/USD is quoted in dollars, so a 0.0001 pip × 100,000 = $10 with no conversion. USD/JPY earns yen: 0.01 × 100,000 = ¥1,000 per lot, and ¥1,000 ÷ 150 = $6.67. Gold on calc.forex uses a $0.10 pip × 100 oz = $10 — see how to calculate pips in gold if your platform labels $0.01 as a pip instead.
Worked examples
EUR/USD: risk $100 with a 20-pip stop
| Step | Calculation | Result |
|---|---|---|
| Pip value per lot | 0.0001 × 100,000 | $10 |
| Loss per lot at stop | 20 × $10 | $200 |
| Lots | $100 ÷ $200 | 0.50 lots |
That is a mini-lot half of a standard lot — 50,000 units of euro.
USD/JPY at 150: risk $100 with a 30-pip stop
| Step | Calculation | Result |
|---|---|---|
| Pip value per lot | ¥1,000 ÷ 150 | $6.67 |
| Loss per lot at stop | 30 × $6.67 | $200 |
| Lots | $100 ÷ $200 | 0.50 lots |
Gold: risk $100 with a $5.00 (50-pip) stop
At $10 per pip per lot: $100 ÷ (50 × $10) = 0.20 lots (20 oz at 100 oz per lot).
Run the same inputs in the position size calculator or the dedicated gold lot size page.
Lots measure size; risk decides the lot
A common mistake is to pick "0.10 lots" because it feels small. Whether 0.10 lots is small depends on the stop: 0.10 lots of EUR/USD with a 100-pip stop risks $100; with a 20-pip stop it risks $20. Decide the dollars (or percent) you can lose first, measure the stop in pips, then solve for lots.
That is the core of the position sizing guide. This page answers what a lot is; that guide answers how large a lot you should open.
Common lot mistakes
- Confusing lots with leverage. Leverage sets margin; it does not set how much you lose per pip.
- Using $10/pip on every pair. Yen pairs and crosses need conversion; see the table above.
- Assuming every gold or index "lot" matches forex. Check Contract specs.
- Ignoring the lot step. If the calculator returns 0.137 and your broker steps 0.01, round down to 0.13 so risk does not exceed the plan.
Frequently asked questions
What is a lot in forex?
A lot is a standardised trade size. One standard lot is 100,000 units of the base currency. Brokers also offer mini (0.10), micro (0.01) and sometimes nano (0.001) lots.
How much is 1 lot in forex?
One standard lot is 100,000 units of the first currency in the pair — for example €100,000 on EUR/USD or $100,000 on USD/JPY. The money you need in the account is the margin, which depends on leverage, not the full notional.
What is the difference between standard, mini and micro lots?
Standard = 1.00 lot (100,000 units), mini = 0.10 (10,000), micro = 0.01 (1,000). Pip value scales the same way: $10, $1 and $0.10 per pip on EUR/USD in a USD account.
How much is a pip worth on 1 lot?
On EUR/USD in a USD account, $10 per standard lot. On USD/JPY at 150, about $6.67 per lot. On gold with a $0.10 pip and 100 oz per lot, $10 per lot.
How do I know what lot size to trade?
Choose the amount you can lose, measure the stop in pips, then lots = risk ÷ (stop × pip value per lot). The position size calculator does that for forex, gold and indices.
