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Pip Value Calculator

Calculate pip values for different currency pairs and lot sizes. Essential for forex risk management and position sizing.

Educational use only. Not financial advice. Results are estimates. Trading involves risk. Read full disclaimer.

Understanding pip value is crucial for forex traders. It tells you how much money you'll make or lose for each pip movement in a currency pair. This calculator helps you determine pip values for different pair types, lot sizes, and pip sizes. By knowing your pip value, you can better manage risk, size positions appropriately, and understand the potential profit or loss of your trades.

Pip Value Calculator

Results

Pip Value (Quote Currency)

10.0000 units

Pip Value (USD)

$10.00

Units

100,000

Estimates only.

How to Use This Calculator

  1. Select pair type: Choose whether the quote currency is USD (XXX/USD), base currency is USD (USD/XXX), or a cross pair.
  2. Select lot size: Choose micro (1,000), mini (10,000), standard (100,000), or enter a custom lot size.
  3. Enter current price: The current exchange rate of the currency pair.
  4. Enter pip size: Usually 0.0001 for most pairs, but 0.01 for JPY pairs. You can override this if needed.
  5. For cross pairs: Optionally enter a conversion rate from the quote currency to USD to get pip value in USD.
  6. Review results: See pip value in quote currency and USD (if applicable).

Formula

Pip Value (Quote Currency) = Units × Pip Size

For XXX/USD: Pip Value (USD) = Units × Pip Size

For USD/XXX: Pip Value (USD) = (Units × Pip Size) ÷ Current Price

For Cross Pairs: Pip Value (USD) = Pip Value (Quote) × Conversion Rate

Common Mistakes to Avoid

  • Using wrong pip size: Always use 0.01 for JPY pairs (USD/JPY, EUR/JPY, etc.) and 0.0001 for other pairs. Using the wrong pip size will give incorrect pip values.
  • Forgetting about cross pair conversion: For cross pairs, pip value is in the quote currency, not USD. You need a conversion rate to get USD value. Without it, you can't accurately assess risk in dollar terms.
  • Not accounting for lot size: Pip value scales with lot size. A 1-pip move on a standard lot is worth $10, but on a micro lot it's only $0.10. Always verify your lot size matches your intended position size.
  • Confusing base and quote currency: For USD/XXX pairs, the calculation is different because USD is the base currency. Make sure you select the correct pair type for accurate calculations.

Frequently Asked Questions

What is a pip?

What is pip value?

What are the different lot sizes?

Why is pip size 0.01 for JPY pairs?

How do I calculate pip value for cross pairs?

What's the difference between XXX/USD and USD/XXX?

How does pip value relate to position sizing?

Can I use this for other markets like crypto?

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