Pip value calculator
What this pip calculator does
This pip calculator answers one question: if the price moves by one pip, how many dollars does my position gain or lose? Choose a pair, enter the current price and your size in lots. For cross pairs such as EUR/GBP, the tool asks for a conversion rate so it can express the answer in US dollars.
Units per lot: 100,000 for currencies, 100 ounces for gold. Pip size: 0.0001, or 0.01 for yen pairs and gold.
Worked examples
All figures below are illustrative.
- EUR/USD, 2 lots. The quote currency is the dollar, so no conversion is needed: 2 × 100,000 × 0.0001 = $20 per pip.
- USD/JPY at 150.00, 1 lot. One pip is 100,000 × 0.01 = 1,000 yen. Converting at 150 yen per dollar gives 1,000 ÷ 150 ≈ $6.67 per pip.
- Gold (XAU/USD), 0.5 lots. Half a lot is 50 ounces. A 0.01 move is worth 50 × 0.01 = $0.50, so a $1 move in the gold price is worth $50.
How to read the result
Multiply the pip value by the number of pips between your entry and your stop-loss to see what you stand to lose if the stop is hit. With the EUR/USD example, a 25-pip stop on 2 lots risks 25 × $20 = $500 before costs. If that number makes you uncomfortable, the position is too large; the lot size calculator works backwards from the amount you are prepared to risk.
You can also use pip value to put costs in dollars. A spread of 1.5 pips on the EUR/USD example costs 1.5 × $20 = $30 per round trip, which is worth knowing before comparing firms in our guide to trading fees.
For pairs not quoted in dollars, pip value changes as exchange rates move, so recheck it if you hold a position for a long time.