Thinking of trading currencies? Before you dive in, it’s important to understand a few key concepts, starting with one of the most fundamental: pips, and how ...

= $10,000 x 1% / 50 Pips x $10 = 0.2 Standard Lot Using Technology Fortunately, you do not need to calculate your lot size manually. Technology is your best friend if you hate crunching numbers.

The pip value for each lot size will be proportionally smaller for mini and micro-lots. Account Currency: The denomination of your trading account's currency affects how the pip value is calculated.