Lot
A standardized trading unit representing 100,000 units of the base currency.
Full Definition
A lot is the standard unit of measurement for position size in forex trading. A standard lot equals 100,000 units of the base currency. Mini lots (10,000 units), micro lots (1,000 units), and nano lots (100 units) allow traders to trade smaller positions. Lot size directly affects your risk exposure and potential profit or loss per pip movement.