Pips and lots- concepts
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    Talking Pips and lots- concepts

    The most common increment of currencies is the PIP. If the EUR / USD moves from 1.2250 to 1.2251, that ONE PIP. A pip is the last decimal of a quote. Pip is how to measure the gain or loss.
    Forex is traded in lots. The standard size for a lot is $ 100,000.
    There are also mini lot size, which is $ 10,000. As you know, currencies are measured in pips, which is the smallest increment of the currency. To take advantage of these increments, you need to make trading of large amounts of one currency in order to see any benefit or loss.

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    Doing trading means that traders should know the management of his trading account, and you can not manage the account very well when you do not know how to do the lot and the addition and multiplication of the pips that will go for certain investments and the lot on it. This is why i wee this to be very good for traders that means business. Thank you on this.

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    Yes, trading need knowledge and experience ,if you have these two arts then you will be a successful businessmen and you will be earn more and more in forex trading business, you will try to earn a lot of pips in short time or per day and its depends on you thoughts and concept

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    yes who wants to tradind in forex trading business they will also know that how to controle business and you can not manage the account very well when you do not know how to do the lot and the addition and multiplication of the pips that will go for certain investments and the lot on it. This is why i wee this to be very good for traders that means business

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    As you have rightfully said pip is the smallest value of a currency pair while lot size is the percentage of amount you intend to open in a particular order of a currency pair, its very important that you have in mind the risk involved before placing an order with any lot size ,management is a very important element in forex trading.

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    Quote Originally Posted by dardoalbarracin View Post
    The most common increment of currencies is the PIP. If the EUR / USD moves from 1.2250 to 1.2251, that ONE PIP. A pip is the last decimal of a quote. Pip is how to measure the gain or loss.
    Forex is traded in lots. The standard size for a lot is $ 100,000.
    There are also mini lot size, which is $ 10,000. As you know, currencies are measured in pips, which is the smallest increment of the currency. To take advantage of these increments, you need to make trading of large amounts of one currency in order to see any benefit or loss.
    In currency trading the difference of pip is always same. for an example if you stay long at 1.3650 in EURUSD pair and sold at 1.3670 means you make 20 pip. now the question is if you have hold 1 full lot ( 1,00,000) quantity then your earning will be of $ 20 USD if you have holding 1,000 quantity then you will be making only 20 cent.
    Similarly you have to calculate your profit as per your holding multiply with the pip you earn.

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    True, pips is a measure of the difference in the price movement of the market, so the difference will calculate profits and losses that we will get. While the lot is used to measure the volume of trade that we use, so a lot is calculated based on the value of the currency pair contracts and leverage that we use.

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    During trading we should have a very good knowledge about our lot size in starting pips does not matter a lot if you are a new trader then try to know about your lot size use proper risk management in your trading don't take any much risk for your each trade without any proper preparation never start your trading

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    pip is the unit of trading as each movement of the market called pip and lot is the value of the pip and we can give different value to these pips by determining the lot size for each pip, some people determine their targets by pips and some of them determine the target with amount of money, we also should trade with low or suitable lot size to be in safe side during trading.

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