Nano Lot
A nano lot is a trading unit of measure used in the forex market. It is equal to one-hundredth of a micro lot, or 100 units of the base currency in a forex trade. Nano lots are the smallest tradable lot available to most retail forex traders. Nano lots are also referred to as cent lots, or 0.01 lots.
History of Nano Lot
The nano lot was introduced in the forex market in the early 2000s. It was created to provide traders with the ability to trade in smaller increments than the standard lot size of 100,000 units. This allowed traders to better manage their risk and to trade with smaller amounts of capital. The nano lot has become increasingly popular with retail traders, as it allows them to trade with smaller amounts of capital and to better manage their risk.
Comparison of Lot Sizes
| Lot Size | Units of Base Currency |
|---|---|
| Standard Lot | 100,000 |
| Mini Lot | 10,000 |
| Micro Lot | 1,000 |
| Nano Lot | 100 |
Summary
A nano lot is a trading unit of measure used in the forex market. It is equal to one-hundredth of a micro lot, or 100 units of the base currency in a forex trade. Nano lots are the smallest tradable lot available to most retail forex traders. The nano lot was introduced in the forex market in the early 2000s to provide traders with the ability to trade in smaller increments than the standard lot size of 100,000 units. For more information about nano lots, traders can visit websites such as Investopedia, Forex.com, and FXCM.
See Also
- Standard Lot
- Mini Lot
- Micro Lot
- Pip
- Leverage
- Margin
- Spread
- Slippage
- Currency Pair
- Forex Trading
