Back to some of the FOREX terms-1

We have had so far a lot of very important concepts to understand the mechanism of trading, and although it is clear concepts does not have a lot of complexity, it is important to reaffirm them as they represent the cornerstone in understanding the principles of work in trading in global markets.

Of the concepts that we have mentioned:

Per unit of goods Unit

They are less extent can be traded by Item. Called Lott - Lot. Dealing institutions that operate the system with marginal things could be traded are fixed units each unit called Lotte lot. In our previous example, the item is the car and per unit of which is a single car, a less extent you can be traded.
You can not be traded half a car .. But you can trade in multiples of this unit which you can trade two cars or three, etc.

In our previous example Lot = one car.

There are institutions that allow you to trade textured soy Soy beans and be less trading limit is 5000 bushels Bushel - a unit of weight - which that Lout here = 5,000 bushels

 . And there are institutions that allow you to trade in gold and be less trading limit is 560 ounces of any that Lout here = 560 ounces.
You can trade Baloot or two or three and Bamadaafath, and you can not be traded half lot or Baloot and a half.

Size of the contract - Contract Size

Is the actual value of the commodity company that allows you to trade him.
In our previous example, the item is a car and its actual value = $ 10,000
When you buy 1 lot of requests from the agency means that you ask to buy one car worth $ 10,000 and when you ask to buy 2 Lott meaning that you ask to buy two cars worth $ 20,000 (2 * 10.000), and so on ..
Contract size varies from one institution to another, one of the basic information that Starafha before dealing with the institution that will open a space for margin trading system.