Choosing a lot size to work with will make a big impact on your risk managment strategy. You might find yourself asking “which lot size will work best for me?”. The answer really depends on your trading style but a basic rule of thumb is the smaller the better. The smaller your lot size, the more flexible you can be when it comes managing your trades.
Micro lots are the smallest tradable lot available with most brokers. A micro lot is a lot of 1000 units of your accounting funding currency. If your account is funded in US dollars a micro lot is $1000 worth of the base currency you want to trade. If you are trading a dollar based pair, 1 pip would be equal to 10 cents. Micro lots are very good for beginners that need to be more at ease while trading.
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I always trade with 0.1 - 0.5 lots. I don’t want to risk my money.
If you don’t want to risk money, why trade? not just put it in the bank? even fund managers have risk.
also 1 standard lot is 100,000 units of currency. even though the title of this thread has nothing to do with the underlying post.
You got it wrong my friend. I am talking about minimizing the risk. Not about trading. May be you have the potential to trade with standard lots. So that is up to you. I guess thread starter already got the answer here. So I am just sharing my personal view. If you think this is irrelevant so you also in the same boat by quote my post. Good luck mate.