What is a pip?
A pip is the standard unit used to measure price movement in forex. For most pairs one pip is 0.0001, so a move of EUR/USD from 1.0850 to 1.0851 is one pip. For pairs that include the Japanese yen, such as USD/JPY, one pip is 0.01. Many brokers also show a fractional pip, called a pipette, which is one tenth of a pip.
What is pip value?
Pip value is the amount of money one pip is worth for your position size, in your account currency. It tells you how much you gain or lose for every pip the price moves, which is the number you need to set a sensible stop loss and position size.
How pip value is calculated
Pip value = Pip size × Position size in units, converted to your account currency
- EUR/USD with a USD account: 0.0001 × 100,000 = 10 USD per pip for one standard lot.
- USD/JPY with a USD account: 0.01 × 100,000 = 1,000 JPY, which is divided by the USD/JPY rate. At a rate of 150 that is about 6.67 USD per pip.
- EUR/GBP with a USD account: 0.0001 × 100,000 = 10 GBP, converted to USD at the current GBP/USD rate.
When the quote currency of the pair is not your account currency, a conversion rate is needed. The calculator loads public reference rates and refreshes them regularly. You can also type the price or the conversion rate from your broker platform for an exact figure.
How to use the calculator
- Choose your account currency and the currency pair.
- Enter your lot size. 1.00 is a standard lot, 0.10 a mini lot and 0.01 a micro lot.
- Read the value of one pip, ten pips and one hundred pips, and the value for each lot type.
- Use the table below the result to compare all major and cross pairs in your account currency.
Once you know the pip value, the lot size calculator can work out the position size for your stop loss and risk, and the economic calendar shows the events that can move the pair.
Gold (XAU/USD) is calculated with 1 pip = 0.10 and a contract of 100 ounces. Some brokers use a different definition, so check your contract specification.
This tool is for education and is not financial advice. Trading leveraged products carries a high level of risk.
Frequently asked questions
How much is one pip worth on EUR/USD?
For one standard lot (100,000 units) one pip on EUR/USD is worth 10 USD. A mini lot is worth 1 USD per pip and a micro lot 0.10 USD.
Why is the pip value different for USD/JPY?
A pip on yen pairs is 0.01, not 0.0001, and the profit is first calculated in yen. It is then converted to your account currency, so the value in USD changes with the USD/JPY rate.
Does pip value change during the day?
It stays fixed when your account currency is the quote currency, as with EUR/USD for a USD account. For other pairs it changes slightly with exchange rates.
What is the difference between a pip and a pipette?
A pipette is one tenth of a pip, the fifth decimal place on most pairs and the third on yen pairs.
How do I use pip value to set a stop loss?
Multiply the pip value by the number of pips to your stop loss to see how much you would lose. Then adjust the lot size until that amount matches the risk you accept. The lot size calculator does this for you.