A pip — “percentage in point” — is the smallest standard price move in a currency pair, usually the fourth decimal place (or the second for JPY pairs). Knowing what a pip is worth for your exact lot size is the first step in sizing risk. Pick a pair, your account currency and a trade size to see the value of a single pip, instantly.
Live rate · updated 03:21 UTC
The value of one pip is the pip size multiplied by the number of units you are trading, expressed first in the pair’s quote currency and then converted to your account currency:
Pip value (quote ccy) = pip size × (lots × contract size) Pip value (account ccy) = pip value (quote ccy) ÷ (account ccy per quote ccy) Example — 1.0 lot EUR/USD, USD account: = 0.0001 × (1.0 × 100,000) = 0.0001 × 100,000 = 10 USD per pip
Once you know your pip value, plug it into the position size calculator to find the lot size for a fixed-percentage risk, check the margin the trade requires, and project the outcome with the profit & loss calculator. Live pair prices are on the forex rates board.
For pairs quoted in your account currency (e.g. EUR/USD on a USD account) the pip value is fixed by lot size. For other pairs it converts through a cross rate, so it moves marginally as that rate changes.
JPY pairs are quoted to two decimals, so one pip is 0.01 rather than 0.0001. The calculator applies the correct pip size automatically per instrument.
Many brokers show a fifth/third decimal — a tenth of a pip, or 'pipette'. This tool works in whole pips; divide the result by ten for a pipette.