Pip Value Calculator

A pip (percentage in point) is the smallest standardised price movement for a currency pair. For most pairs it equals 0.0001 (one ten-thousandth). For JPY pairs it equals 0.01. Knowing the pip size is the first step in converting price movement into dollar profit or loss.

Pip Value = Pip Size × Units × Cross Rate (quote → deposit). For EUR/USD with a USD account and one standard lot (100,000 units): 0.0001 × 100,000 × 1 = $10.00 per pip. For cross pairs you need the current exchange rate to convert the quote currency pip into your account currency.

Pip value is naturally expressed in the quote currency. If your account is in USD and you are trading EUR/GBP, the pip is in GBP, so you need a live GBP/USD rate to convert it into USD. This calculator fetches that rate automatically.

With a USD deposit account: exactly $10.00 per pip. Because USD is both the quote and deposit currency, no conversion is needed, 0.0001 × 100,000 = $10.00. Mini lots give $1.00 per pip, micro lots $0.10 per pip.

JPY pairs have a pip size of 0.01 (not 0.0001) because the yen is quoted to two decimal places. For USD/JPY with a USD deposit, the pip value per standard lot is approximately $6.90 rather than $10.00, and it fluctuates with the USD/JPY exchange rate.

Once you know the pip value, multiply it by your stop-loss distance in pips to get the dollar risk per lot. Then divide your total risk budget (from your Position Size Calculator result) by that figure to find the number of lots to trade.

Pip value tells you how much each pip is worth in your account currency. Knowing this helps you choose the right position size and control your risk before entering a trade.