Hello, I will soon be trading at FXCM or GAIN. My question is the following: I will be subscribing to a signal service that is meant for Currency futures. However, I will be instead using FXCM or GAIN Forex. Since, I want results that are equivalent in proprotion, how can I determine how many Forex contracts equal a currency or emini currency futures contract? Thanks
Hi Robert, When trading spot forex, the minimum trade size is 1 micro lot or 1,000 units of base currency (displayed as 1K on the Trading Station platform). The base currency is the one on the left in a currency pair. For example, the Euro is the base currency in the EUR/USD pair. 1K of EUR/USD is equivalent to 1,000 Euros. On this trade size you're risking 10 cents per pip. The Euro FX futures contract (6E) has a size of 125,000 Euros, so the equivalent on Trading Station would be 125K of EUR/USD. On this trade size you're risking $12.50 per pip. The E-micro contract (M6E) has a size of 12,500 Euros, so the equivalent on Trading Station would be 12K or 13K of EUR/USD. On this trade size you're risking $1.20 or $1.30 per pip.