Forex pip value calculator
Pips are only meaningful once you know what one is worth to you. Enter your lot size and stop distance to see the money at stake.
Pips are not the risk. Cash is.
"My stop is 20 pips" tells you nothing about what you are risking. Twenty pips on a micro lot is $2. Twenty pips on five standard lots is $1,000. The pip count is a distance on a chart; the risk is that distance multiplied by your size.
This calculator does that multiplication, then shows it as a percentage of your account, which is the form the number actually needs to be in before you place the order.
How pip value is worked out
pip value = units × pip size × quote-to-account rate
- Units — standard 100,000, mini 10,000, micro 1,000, nano 100
- Pip size — 0.0001 normally, 0.01 for JPY pairs
- Rate — 1 when the pair already settles in your account currency, otherwise the live rate
The JPY exception
Yen pairs are quoted to two decimals rather than four, so a pip is 0.01 instead of 0.0001. Traders who forget this size their yen positions a hundred times too large or too small, and it is one of the most expensive beginner mistakes in forex.
Leverage does not change your risk
It changes what you can afford to open. A 1:500 account and a 1:30 account risk exactly the same money on the same lot size and the same stop. Leverage only decides whether the broker lets you place the trade at all — your stop decides what it costs.
Questions
What is a pip worth?
On a standard lot of a normal pair, one pip is about $10. A mini lot is $1 and a micro lot is $0.10. On JPY pairs a pip is the second decimal rather than the fourth, so the same lot size gives a different cash value once converted.
What is the difference between a pip and a point?
A pip is the fourth decimal place on most pairs (0.0001) and the second on JPY pairs (0.01). A point, or pipette, is one tenth of a pip - the fifth decimal your broker shows.
Why does my broker show a different pip value?
Because the pair is not quoted in your account currency. A GBP/JPY position pays out in yen, and your broker converts it at the live rate. Put that rate in the conversion field to match their figure.