Frequently Asked Questions

If you were to buy a stock on the NYSE, you would purchase this using USD. In the FOREX market the equivalent to this is the LOT amount. The LOT is basically the number of currency units you are buying or selling. We have a more detailed explanation in our members area, to break down exactly how to use LOT in Forex.

Essentially, the spread in forex is the difference between what you buy or sell a currency pair at, vs when you actually start making some profit. For example, if you were to place a BUY trade in EURUSD and the spread is 1 pip. The pair would have to move up more than 1 pip before you start to realise profit. TIP - you can see the current spreads on all currency pairs on your brokers website. They are normally in the range of 1-3 pips depending on the currency pair.