Pip Calculator
Calculate the value of one pip for any currency pair and lot size.
How it works
Pip Value = (Pip Size × Lot Units) ÷ Exchange Rate
For USD-quoted pairs (EUR/USD, GBP/USD), the pip value in USD is straightforward. For non-USD quote currencies (e.g. USD/JPY), divide by the current exchange rate.
A standard lot on EUR/USD at 1.0000 = $10 per pip.
What Is a Pip in Forex?
A pip (percentage in point) is the smallest standardised price move in a currency pair. For most pairs, one pip equals 0.0001 - the fourth decimal place. For JPY pairs (USD/JPY, EUR/JPY), one pip equals 0.01, the second decimal place, because the Japanese yen trades at a fundamentally different scale.
Many brokers now quote prices to a fifth decimal place (0.00001) - this fractional unit is called a pipette or point, and equals one-tenth of a pip. Your broker's platform may display both.
How to Calculate Pip Value
Pip value depends on three things: the pip size for the pair, the lot size you are trading, and the current exchange rate if your account currency differs from the pair's quote currency.
Pip Value = (Pip Size × Lot Size in Units) ÷ Exchange RateExample - EUR/USD standard lot (100,000 units):
Pip Value = (0.0001 × 100,000) ÷ 1 = $10 per pip
Example - USD/JPY standard lot at 150.00:
Pip Value = (0.01 × 100,000) ÷ 150.00 = $6.67 per pip
Pip Value by Lot Size
| Lot Type | Units | EUR/USD pip value | GBP/USD pip value |
|---|---|---|---|
| Standard | 100,000 | $10.00 | $10.00 |
| Mini | 10,000 | $1.00 | $1.00 |
| Micro | 1,000 | $0.10 | $0.10 |
| Nano | 100 | $0.01 | $0.01 |
Why Pip Value Matters for Risk Management
Knowing your pip value before entering a trade is the foundation of position sizing. If you are risking 1% of a $10,000 account ($100) and your stop-loss is 50 pips on EUR/USD, you need a pip value of $100 ÷ 50 = $2 per pip - which means trading 0.2 standard lots (20,000 units).
Without calculating pip value, traders in the UAE and Gulf region often over-leverage - risking far more capital per pip than their account can withstand. Use this calculator before every trade to confirm your exposure.