A contract size in Forex Trading is the deliverable number of items and finance equipment under-lying futures positions and also option contracts which can be exchanged on a trading. The contract size in forex is consistent for this kind of futures and also options contracts, as well as differs based on the financial instrument or commodity which is exchanged. The contract size in Forex as well can determine the US dollar worth of an item move in the under-lying financial instrument or even commodity.
Each and every standard lot bought or sold in the Foreign exchange market is a 100k, (base currency of the pair) contract. This means that, whenever exchanging one lot in a standard forex account, a forex trader basically has a $100k buy and sell in the market. Without leverage, several forex traders will not have the ability to pay for those trade amount. Leverage of 1:100 allows an investor to open the 1 lot ($100k Units) buy and sell.
Different Brokers are giving Different Contract Size of the Account.
Standard Account Contract Size (100,000Units)
Mini Account Contract Size (10,000 Units)
Micro Account Contract Size (1,000 Units)
Cent Account Contract Size (it can be any contract Size just amount in cents)
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