# Lots: Standard, Mini and Micro

> Forex positions are measured in lots. Learn standard, mini, micro and nano lot sizes, their pip values, the exposure they create and how to choose the right size.

Source: https://learn.tradelabsai.com/forex/lots-standard-mini-and-micro/  
Track: Forex · Level: Beginner · Updated: 2026-10-03  
Publisher: TradeLabs AI (https://tradelabsai.com). Education, not financial advice.  
Cite as: TradeLabs Learn, "Lots: Standard, Mini and Micro", https://learn.tradelabsai.com/forex/lots-standard-mini-and-micro/

In forex, trade size is measured in lots. A lot is a standard number of units of the base currency. The traditional standard lot is 100,000 units, which is large for most individual traders, so brokers also offer mini, micro and sometimes nano lots. The lot size determines how much each pip is worth, how much margin is required and how big your exposure is. Choosing lot sizes based on risk, not on what the broker allows, is one of the most important habits in forex trading.

## Lot sizes

| Lot | Units of base currency | Pip value (USD quote pairs) | Notional at EUR/USD 1.0850 |
|---|---|---|---|
| Standard | 100,000 | $10.00 | $108,500 |
| Mini | 10,000 | $1.00 | $10,850 |
| Micro | 1,000 | $0.10 | $1,085 |
| Nano (some brokers) | 100 | $0.01 | $108.50 |

Many platforms show size as a decimal of a standard lot: 0.10 lots is a mini lot, 0.01 lots is a micro lot.

## Exposure and leverage

Lot size sets your notional exposure, the full value of the position. Margin is only a fraction of it.

**Example: One standard lot of EUR/USD**
Buying 1 standard lot of EUR/USD at 1.0850 gives exposure to €100,000, worth $108,500. With 30:1 leverage (the maximum for major pairs for retail clients in the EU and UK), required margin is about $3,617. With 50:1 (the US limit for majors), about $2,170. A 1% move in EUR/USD, about 108 pips, changes the position's value by about $1,085, which is 30% to 50% of that margin. See [Leverage and Margin in Forex](https://learn.tradelabsai.com/forex/leverage-and-margin-in-forex/).

## Choosing lot size by risk

The right lot size comes from your stop distance and risk per trade, not from available margin.

```
lots = account risk in dollars / (stop in pips × pip value per lot)
```

**Example: Matching risk with lots**
Account: $5,000. Risk: 1% ($50). Stop: 25 pips on EUR/USD.
Using standard lots ($10 per pip): 50 / (25 × 10) = 0.2 lots, or 2 mini lots ($1 per pip each).
Loss at stop: 25 pips × $2 = $50.

If the stop needed to be 60 pips: 50 / (60 × 10) ≈ 0.08 lots, or 8 micro lots ($0.80 per pip), for a loss of $48 at the stop. Wider stops mean smaller positions. See [Position Sizing](https://learn.tradelabsai.com/risk/position-sizing/).

## Why micro and nano lots matter

- **Precise sizing:** small accounts can follow 0.5% to 1% risk rules.
- **Learning:** traders can trade live with very small amounts after [Paper Trading](https://learn.tradelabsai.com/start-here/paper-trading/).
- **Scaling:** positions can be built or reduced in small steps. See [Scaling In and Pyramiding](https://learn.tradelabsai.com/position-management/scaling-in-and-pyramiding/).

## Lots on non USD pairs

For pairs where the dollar is not the quote currency, pip value per lot changes with exchange rates. One standard lot of USD/JPY at 150.00 has a pip value of about $6.67; one standard lot of EUR/GBP has a pip value of £10, about $12.70 at GBP/USD 1.27. See [Pips and Pipettes](https://learn.tradelabsai.com/forex/pips-and-pipettes/).

## Lots vs units

Some brokers let traders set any number of units, such as 3,700, rather than lots. This allows exact risk based sizing. It works the same way: pip value = units × pip size.

## Common mistakes

- **Trading standard lots on small accounts** because leverage allows it.
- **Keeping the same lot size** regardless of stop distance, which makes risk vary from trade to trade.
- **Forgetting that pip values differ** across pairs.
- **Adding lots on losing trades** without a plan.

## Frequently asked questions

### What is a lot in forex?

A standardised trade size. A standard lot is 100,000 units of the base currency, a mini lot 10,000 and a micro lot 1,000.

### How much is a standard lot worth?

It controls 100,000 units of the base currency, for example €100,000 in EUR/USD, worth about $108,500 at 1.0850.

### What lot size should a beginner use?

A size based on risk: typically risking 1% or less of the account per trade, which for small accounts usually means micro or mini lots.

Next, learn how leverage and margin work in forex in [Leverage and Margin in Forex](https://learn.tradelabsai.com/forex/leverage-and-margin-in-forex/).

## Continue learning

- Next lesson: [Leverage and Margin in Forex](https://learn.tradelabsai.com/forex/leverage-and-margin-in-forex/)
- Previous lesson: [Pips and Pipettes](https://learn.tradelabsai.com/forex/pips-and-pipettes/)
- Related: [Pips and Pipettes](https://learn.tradelabsai.com/forex/pips-and-pipettes/): A pip is the standard unit of movement in a currency pair; a pipette is a tenth of a pip. Learn pip sizes, how to calculate pip value and convert pips to money.
- Related: [Leverage and Margin in Forex](https://learn.tradelabsai.com/forex/leverage-and-margin-in-forex/): Forex brokers offer high leverage through margin. Learn how margin is calculated, regulatory limits, margin calls and stop outs, and how to use leverage safely.
- Related: [Position Sizing](https://learn.tradelabsai.com/risk/position-sizing/): Position sizing decides how many shares or contracts to trade so each loss stays small. Learn the formula, worked examples for each market and common mistakes.
- Related: [Margin](https://learn.tradelabsai.com/markets/margin/): Margin is the deposit you put up to borrow money or open leveraged positions. Learn initial and maintenance margin, margin calls, interest and how to avoid them.
- Related: [Pip Value Calculator](https://learn.tradelabsai.com/tools/pip-value-calculator/): Free forex pip value calculator. Work out what one pip is worth in US dollars for any lot size and currency pair, including JPY pairs and crosses.