Understanding FX accounts, lots & pips at 100:1 leverage? - Aussie Stock Forums

# Thread: Understanding FX accounts, lots & pips at 100:1 leverage?

1. ## Understanding FX accounts, lots & pips at 100:1 leverage?

Hello to all,

I am a newbie to trading, I have had some confusion as to how specific fx accounts and their lot sizes and cost per pip at 100:1 leverage is understood?

See my understanding below, am I close?

Std Account- 1 std lot =\$1000 cost per pip \$10 Leverage 100:1 (\$10 x 100 = \$1000) \$1000 controls \$100,000

Mini Account- 1 mini lot =\$100 cost per pip \$1 Leverage 100:1 (\$1 x 100 = \$100) \$100 controls \$10,000

Micro Account- 1 micro lot =\$10 cost per pip \$0.10 Leverage 100:1 (\$0.10 x 100 = \$10) \$10 controls \$1,000

Nano Account- 1 nano lot =\$1 cost per pip \$0.01 Leverage 100:1 (\$0.01 x 100 = \$1) \$1 controls \$100

I appreciate anyone's help/comments

3. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

Thanks Boggo, I will check it out.

4. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

Originally Posted by danielsan
I appreciate anyone's help/comments
Also worth a look...

http://www.babypips.com/school/

Paul

5. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

Hi Boggo,

Thanks again for the link on How to Calculate Pip Values, I checked it out and saved it for future reference as well.

I recently opened a demo account and I rang the broker and quizzed him about my question, he said my examples made sense.

Hi Paul,

Yeah Babypips is a cool site, I am working my way through the School of Pipsology at the moment. I have also been following the ongoing Cowabunga trade system blog that they do there.

I am currently reading a book from Aussie, Brent Penfold, called The Universal Principles of Successful Trading, its awesome! well worth a read, I am happy to be gaining the knowledge of money/risk management prior to putting my hard earned on the line

Cheers,
danielsan

7. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

I recently came across this similar thread,

http://www.aussiestockforums.com/for...d.php?t=11793&

I thought it may be useful to other newbie's, in particular Tayser's example post and the book that he recommends. I will be off to the book store later this week, let me know if you would like a review of the book, once I have read it of course

8. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

Originally Posted by danielsan
I recently came across this similar thread,

http://www.aussiestockforums.com/for...d.php?t=11793&

I thought it may be useful to other newbie's, in particular Tayser's example post and the book that he recommends. I will be off to the book store later this week, let me know if you would like a review of the book, once I have read it of course
I just realised that the book that is recommended by Tayser is available from the ASF online shop, so I will buy it from there and support this great site

9. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

Easyforex, has a very basic free simulator, that lets you practice or just watch and learn, sometimes just watching something trade for quite a while, can give you a feel for price movement. But don't forget a rock solid trading plan, before you put up your hard earned.

http://en.easy-forex.com/evo/au/tradesimulator.aspx

10. ## Re: Understanding FX accounts, lots & pips at 100:1 leverage?

Originally Posted by Market Depth
Easyforex, has a very basic free simulator, that lets you practice or just watch and learn, sometimes just watching something trade for quite a while, can give you a feel for price movement. But don't forget a rock solid trading plan, before you put up your hard earned.

http://en.easy-forex.com/evo/au/tradesimulator.aspx
Hi Market Depth,

I will checkout the link and give it a go, thanks.

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