A pip calculator converts a price movement (a pip) into real money in your account currency. Use it every time you size a trade or set a stop loss so your risk is expressed in dollars (or euros, etc.), not just pips.
Quick glossary (one-line definitions)
- Pip — smallest standard move in a pair (usually 0.0001; for JPY pairs it’s 0.01).
- Lot — trade size: Standard = 100,000 units, Mini = 10,000, Micro = 1,000.
- Base/Quote — in
BASE/QUOTE(e.g., EUR/USD), EUR is base, USD is quote. - Account currency — the currency your trading account uses (e.g., USD, EUR).
Step-by-step: exactly how to use the calculator (what each input means)
- Select your account currency
- This is the currency you measure profit/loss in (e.g., USD).
- Choose the currency pair
- Example:
EUR/USD,GBP/JPY. The calculator uses the pair’s pip convention (0.0001 or 0.01).
- Example:
- Enter trade size
- You can enter lots (0.01, 0.1, 1.0) or units (1,000 / 10,000 / 100,000).
- Reminder: Standard lot = 100,000; mini = 10,000; micro = 1,000.
- Confirm or enter the current exchange rate
- Many calculators auto-fill this; otherwise enter the current market price (e.g., EUR/USD = 1.1200).
- (If prompted) Enter a conversion rate
- If your account currency is neither the pair’s base nor its quote, the calculator will ask for an exchange rate to convert the pip value into your account currency.
- Click “Calculate”
- The result shows: pip value per 1 pip (in your account currency) and pip value per lot.
- Use the result
- Use pip value to compute money risk, set stop-loss size in money terms, and calculate the correct position size.
Practical tips & common pitfalls
- JPY pairs use 0.01 per pip — many forget this and get pip-value 100× off.
- Always check which currency the calculator is returning results in — base, quote, or your account currency.
- Small accounts: use micro-lots so your money risk stays manageable.
- Slippage & spreads: include them in your money-risk calculation (they add to cost).
- One-click copy: when the calculator gives pip value, copy it into your position-sizing formula or trade journal.
Short FAQ
- Q: Does leverage change pip value?
No — leverage changes required margin but not the pip value. Pip value depends only on price movement, units traded, and conversion rates. - Q: What is a pipette?
A pipette = one-tenth of a pip (0.00001 for most pairs), used on 5-decimal brokers. - Q: Why do I sometimes get slightly different numbers from different calculators?
Because some calculators auto-fetch live conversion rates (and rounding rules differ). That’s normal — use live rates for precision.
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