team hero background image

What are Pips?

Point in percentage, or pip in short, is a unit of measurement used to express the change in value between two currencies. A pip is usually the last decimal place of a price quote and traders around the world express their profits and losses in the number of pips their position rises or falls.

In addition to the standard pip, most forex brokers also offer ‘fractional pip pricing'. This adds a fifth decimal place, so a fractional pip is one tenth of a pip.

How does the Pip calculator work?

In just a few simple steps, you can calculate the pip value of your trades so that you can manage your risk better.

Choose the deposit currency of your trading account

Select the instrument you’re trading

Enter the volume (lots) you're trading

Click the 'Calculate' button and let our pip value calculator do the hard work for you

Calculating the Pip values

To calculate the value of a pip, the following variables are required: account base currency (account currency), trading instrument (e.g. currency pair) and trading volume (trade size). The following formula is used to calculate pips:

Pip Value = (One Pip / Exchange Rate) * Lot Size

Let's say the pip value for a 0.10 lot of GBP/USD, with a market rate of 1.31580, on a GBP trading account, is currently £0.8225.

Pip Value = (0.0001 / 1.31580) * 10,000

Pip Value = £0.7599

Let The Tools Do The Hard Work For You

We all know that the markets can be challenging. That’s why we aim to provide traders with any help they may need to improve their chances of potential success. And the best part? It’s free!

Forex Profit Calculator icon

Forex Profit Calculator

Calculate your profits and losses before or after executing a trade with our free Forex Profit Calculator.

Lot Size Calculator icon

Forex Lot Size Calculator

Use our simple yet powerful Forex Lot Size Calculator to calculate the exact position size for each trade and manage your risk per trade like a pro.

Economic Calendar icon

Forex Economic Calendar

Access our free economic calendar and explore key global events on the horizon that could subtly shift or substantially shake up the financial markets.

Currency Strength Meter icon

Currency Strength Meter

Compare the performance of major currencies relative to others in real-time with our advanced Currency Strength Meter.

Market Heat Map icon

Market Heat Map

Measure the strength of major currencies relative to others in real-time and quickly and easily determine when a currency is moving strongly in one direction or another.

Calculate annual growth rate icon

CAGR Calculator

Calculate the Compound Annual Growth Rate (CAGR) of your investments with our easy-to-use CAGR Calculator.

Calculator icon

Value At Risk Calculator

Calculate how much of your investment you might lose at given normal market conditions, over a given period based on the probability of past performance.

Calculator icon

Pip Calculator

Calculate the pip value of your trades for all major Forex currency pairs, indices, cryptocurrencies, and more, using live market quotes.

Calculator icon

Forex Swap Calculator

Calculate the swap fee you will be charged on your trading account for holding your positions overnight with ease.

Calculator icon

Margin Calculator

Determine the exact margin you need to open a trading position with our easy-to-use Forex margin calculator.

Calculator icon

Forex Compound Calculator

Use our advanced Forex compound calculator and simulate the profits you might earn on your Forex trading account.

Calculator icon

Pivot Point Calculator

Use the pivot point calculator to calculate pivot points and determine potential support and resistance levels and how prices could potentially turn.

Tight spreads that make a difference.

Diverse liquidity providers ensure our spreads are tight around
the clock. Trade with spreads as low as 0.0* pips.

Create Live Account Deposit from $50
Start trading in minutes
Create Demo Account Practice with $50,000
Demo environment