Setting the microstepping on a driver is really a function of how much resolution you want on that axis and less related to the CAM software that you use.
Here is the formula for steps / inch:
In this example, I will use a lead screw that has 1/2" linear travel per motor rotation.
Microsteps will equal the denominator. So, 1/4 would be 4. That is how many steps per a full step.
At full step, the steps for one revolution for our motors is 200, therefore
steps / inch = (motor steps) / (how many inches of travel for one motor revolution)
steps / inch = (200 * microsteps) / .5"
steps / inch = (200 * 4) / .5" = 800 / .5" = 1600 steps/inch
If you were using a timing belt, roller chain or rack and pinion, use the pitch circumference to determine the number of inches of travel for one motor revolution. If the number of teeth is 9 and the pitch is 1/4", then the pitch circumference is 2.25". Just plug that into the formula and you will get your steps/inch. You will notice a lowering of the resolution so you may want to increase the microstepping to get finer resolution.
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Using VectricPhotoCarve and wondering what should my micro-stepping be. Presently using 1/4"