I’ve just started demo trading with MT4 today and I was going to do a trade when I got confused about lots and pip value, so I’ll ask you guys.
What lot value must I buy (it goes from 0.1 to 8.00) of the EURUSD if don’t want to risk more than 150$ (3% of my account) with a 15 pip s/l (plus a 2 pip spread). I wanted to short the EURUSD (missed a 100 pips there ).
1.00 means 10 Pips = 1 Lot = $10
0.1 = $10,000 = 0.1 of 1 Lot
TO be a little more clear.
1.00 is considered as buy 1 Lot of a Pair which is $100,000
0.1 is mini lot
if you see 0.01 thats micro lot which my current broker forex trading, forex trading education, forex brokerage, forex mini account, online forex trading, managed forex trading, best forex broker is providing.
So 1 Lot means $10 loss if 1 Pip loss.
So do your maths. meaning if you do 15 lot trades then it means 15 x $10 = $150 lost already if 1 Pip Loss.
So do 1-2 Lots in a trade, and you would be fine.
Thanks, so 1 lot = 10$ a pip.
So if I have a 15 pip stop loss and don’t want to lose more than 150$ I take 1 lot.