Lot size

The minimum quantity, or quantity step, that an order can be placed in.

In plain English

Your calculated position size will often not be a valid order quantity. Round down to the nearest allowed step, never up — rounding up quietly increases the amount at risk.

Example

Your sizing says 0.237 units but the step is 0.01; you place 0.23.

Market StructureRisk Management

See also

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