Pip value calculator
This pip calculator tells you how much money each pip of movement makes or loses on a given position. Choose a pair, check the price, enter your size in lots, and the result appears in US dollars. For crosses such as EUR/GBP, you also enter the rate that converts the quote currency into dollars.
The formula
One pip in dollars = that amount × dollar price of the quote currency
Lot size here means 100,000 currency units, or 100 ounces of gold. The pip is 0.0001 on most pairs, 0.01 on yen pairs and one cent on gold. When the dollar is the quote currency, as in EUR/USD, no conversion is needed. When the dollar is the base currency, as in USD/JPY, divide by the pair's price.
Worked examples
EUR/USD, 0.3 lots: 0.3 × 100,000 × 0.0001 = $3 per pip.
USD/JPY at 150, 1 lot: 1 × 100,000 × 0.01 = 1,000 yen per pip. Converting to dollars: 1,000 ÷ 150 ≈ $6.67 per pip. If the yen rate changes, so does the dollar value of each pip.
These figures are illustrative; the calculator uses whatever price you enter.
Reading the pip calculator result
Multiply the pip value by the number of pips between your entry and your stop-loss to find the planned loss. On the 0.3-lot EUR/USD example, a 30-pip stop means 30 × $3 = $90 at risk, before the spread. If that number feels too large, reduce the lot size rather than moving the stop closer than the market justifies. The position size calculator does this in reverse.
Your broker may quote prices to five decimal places; the fifth digit is a tenth of a pip, sometimes called a pipette. A change from 1.08500 to 1.08510 is one pip.
Gold and cross pairs
Gold is quoted as XAU/USD, and this calculator treats a lot as 100 ounces with a pip of $0.01, so one lot moves $1 for every one-cent change in price. Brokers differ on gold contract sizes and on what they call a pip, so check the contract specification before relying on the figure. For a cross such as EUR/GBP, the pip is worth 10 pounds per standard lot, and the calculator converts that into dollars using the GBP/USD rate you enter. When that rate moves, the dollar value of each pip moves with it, even though your position has not changed.
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