What lot size means
Lot size is the size of your position, measured in lots. In forex, 1 standard lot is 100,000 units of the base currency; a mini lot is 0.10 and a micro lot is 0.01.
The bigger the lot, the more money moves with each pip. That is why lot size is how you decide how much is at stake in each trade: the stop sets where you get out and the lot sets what that exit is worth.
How it is calculated
Lots = risk in money ÷ (stop distance in pips × pip value per lot)
Risk in money is your capital times the percentage you decide to risk. Stop distance is the gap between your entry and your stop, counted in pips (or in points or dollars, depending on the instrument).
The result is rounded down to your broker's step, so the calculated risk stays at or a little below what you decided.
Three examples: EUR/USD, gold and NAS100
The numbers are only there to show the math; you choose the risk.
EUR/USD
For example, with $1,000 of capital, a 1% risk ($10) and a stop 20 pips away, at $10 per pip per lot: 10 ÷ (20 × 10) = 0.05 lots.
Gold · XAU/USD
For example, with $2,000 of capital and a 1% risk ($20), entry at 4,108 and stop at 4,098 ($10 away). With 1 lot = 100 ounces, each dollar of movement is worth $100 per lot: 20 ÷ (10 × 100) = 0.02 lots.
NAS100
For example, with $5,000 of capital and a 1% risk ($50), entry at 31,150 and stop at 31,100 (50 points). If your broker pays $1 per point per lot: 50 ÷ (50 × 1) = 1.00 lot. On indices the point value varies a lot between brokers: check yours.
Common mistakes
- Mixing up pips and points: on EUR/USD one pip is 0.0001; indices are counted in points and gold in dollars of movement.
- Using a pip value from another broker or another day: on indices it changes between brokers, and on pairs where the dollar is the base currency (USD/MXN, for example) it changes with the exchange rate.
- Calculating on an old balance: risk is measured on what you have in the account today.
- Overlooking the minimum lot and the step: if the result falls below the minimum, the minimum lot would risk more than you chose for that stop distance.
Start and Pro: what changes
Start uses reference values that you adjust by hand. Pro, with your cTrader account connected, asks only for the stop and fills in the rest from your account and your broker: live price, balance, your declared risk, pip value, minimum lot, step and commission.
That way the lot comes out with your own broker's pip value and today's balance, using the same formula APEX Flow then uses to measure the risk of each trade.
Discover Pro → Open Start, no sign-up →
Frequently asked questions
What is a standard lot?
In forex, 1 standard lot is 100,000 units of the base currency. On EUR/USD each pip is worth $10 per standard lot; on a mini lot (0.10), $1, and on a micro lot (0.01), $0.10.
How much is a pip worth on gold?
Gold is counted in dollars of movement: with 100-ounce contracts, a $1 move is worth $100 per lot. The contract size depends on the broker: check yours.
Why does my broker show a different value?
Each broker sets the contract size, your account currency and the commission. That is why the Start calculator comes with reference values you can adjust, and Pro uses your own broker's.
Does the calculator tell me how much to risk?
Use the risk you choose; the tool does the math, the decision is yours.
Do I need to sign up to use it?
The Start calculator works with no sign-up: open the page and calculate. The math runs on your device.
Trading in financial markets involves risk of losing capital. APEX Flow is an educational and analytics tool, without personalized financial advice: it measures and explains your trading, and the decisions are yours. Past results do not guarantee future results. Technology integration via cTrader.